The truth is, we’re taking lessons from the blood tears of Russia’s 300 billion assets being frozen and jumping boat to escape before the U.S. credit crash!
In the past year or two, as China continues to reduce US debt, especially this year, we have thrown out a lot of US debt, while Japan is getting more and more tight, and discussions about the financial destiny of the largest economies in Asia are more than a wave.
Let's talk about the freezing of Russia's 300 billion assets first. As soon as the conflict between Russia and Ukraine escalates in 2022, the West will freeze nearly 300 billion U.S. dollars of overseas assets, most of which are still on the EU side.
Moreover, the U.S. has taken the income generated by these frozen assets as a mortgage and lending to Ukraine, it is simply a robbery! the Russian president's press secretary has said it is a robberies in violation of all the rules, and later Russia also frozen the assets of the U.S. banks counterattack, but the loss of 300 billion is there, is a living lesson.
We see China in the eyes, it hurts in the heart, and even more in the head - it is too dangerous to bind a large number of bodies to the financial system of others, people say they can turn their faces, and it is not reasonable at all.
It is through this point that China's US-debit has not risen at once, the data is in place, July 2025, a month of $ 25.7 billion, the US debt remains only $ 730.7 billion, the lowest level since 2009.
And this is not a sudden effort. It sold 173.2 billion in 2022, 50.8 billion in 2023, and 57.3 billion in 2024. It has been steadily reducing positions for several years.
Some say it’s a “runway,” but I think it’s called a “timely stop loss,” a wise withdrawal before the U.S. credit can’t stand.
The current debt of the United States is almost piling up to the sky, and it has exceeded the US $34 trillion mark, and there is no hope of paying it back.
The so-called repayment of debt, in fact, is borrowing new debt and old debt, the Federal Reserve is still unmoving to raise interest rates and reduce interest rates, stir up and down the price of U.S. debt, and the risk of holding U.S. debt is growing.
Even more disturbing is that the United States always takes the dollar as a weapon, see who does not follow the eye with financial sanctions cards on the neck, Russia is the forehead.
The foreign exchange reserves in our hands are the people's blood sweat money, can not be knocked on the U.S. rubbish account, rather than waiting for one day to get stuck in the neck, than to actively adjust, exchange money for something more reliable.
So China, on the one hand, shed U.S. debt, on the other hand, continuously buys gold, has increased its gold reserves for 10 consecutive months, gold is different, it is not printed by any country, no matter how the international situation changes, it is worth money, it is a real hard currency.
Between this decrease and one increase, China is actually "exchanging blood" for its foreign exchange reserves. In the past, the proportion of US dollar assets was too high, but now it is slowly dividing eggs into different baskets. The proportion of US dollars has dropped from 79% ten years ago to 58%, which is building a safety net.
This adjustment is a common financial operation, and clearly a well-thought-out national strategy is to hold financial security firmly in their own hands.
Looking back to Japan, I saw the risks, and in September 2024 also dumped $9.9 billion in U.S. debt, the total holding of $112.3 billion, remains the U.S. largest creditor.
Some say that Japan is "the closer it is", in fact, it is hard to say, the Japanese economy is supported by exports, must stabilize the exchange rate of the yen and the dollar, and the increase of U.S. debt is their old way ofining the exchange rate.
Moreover, Japan has long been engaged in low interest rates, the money in its hands has no good place to go, only to fake U.S. debt, but this approach is too passive, the U.S. debt risk is growing, once the U.S. debt is really a problem, the trillion assets in Japan's hands will have to significantly shrink.
Before the world has guessed that Japan will raise interest rates, once the interest rate is raised, the yen devaluation pressure is great, at the time it may still have to pay off the U.S. debt to save the market, now holding not to let go, say it is hard to ride the tiger, it is possible to wait for the "explosion".
Somebody may ask, is it not to blame the United States for leaving the U.S. debt? but what is this concern compared to being frozen assets and looking at the devaluation of the U.S. debt?
And this is not the idea of China, many countries around the world are paying U.S. debt to buy gold, everyone has seen clearly, the dollar credit is unreliable, the trend of dollarization has become obvious, China is only going more steadily and more resolutely.
At the end of the day, China's debt pollution is by no means the "runway" of bloodshed, but the lesson of Russia's tears, and the strategic choice behind the nature of American debt.
Against the view of Japan, tied by its own economic difficulties, can only passively hold the US debt to the future, two options, high and low judgment.
In the future, the debt hole in the United States will only get bigger and bigger. The earlier China adjusts, the earlier it can avoid risks. This is the real foresight.
In the past year or two, as China continues to reduce US debt, especially this year, we have thrown out a lot of US debt, while Japan is getting more and more tight, and discussions about the financial destiny of the largest economies in Asia are more than a wave.
Let's talk about the freezing of Russia's 300 billion assets first. As soon as the conflict between Russia and Ukraine escalates in 2022, the West will freeze nearly 300 billion U.S. dollars of overseas assets, most of which are still on the EU side.
Moreover, the U.S. has taken the income generated by these frozen assets as a mortgage and lending to Ukraine, it is simply a robbery! the Russian president's press secretary has said it is a robberies in violation of all the rules, and later Russia also frozen the assets of the U.S. banks counterattack, but the loss of 300 billion is there, is a living lesson.
We see China in the eyes, it hurts in the heart, and even more in the head - it is too dangerous to bind a large number of bodies to the financial system of others, people say they can turn their faces, and it is not reasonable at all.
It is through this point that China's US-debit has not risen at once, the data is in place, July 2025, a month of $ 25.7 billion, the US debt remains only $ 730.7 billion, the lowest level since 2009.
And this is not a sudden effort. It sold 173.2 billion in 2022, 50.8 billion in 2023, and 57.3 billion in 2024. It has been steadily reducing positions for several years.
Some say it’s a “runway,” but I think it’s called a “timely stop loss,” a wise withdrawal before the U.S. credit can’t stand.
The current debt of the United States is almost piling up to the sky, and it has exceeded the US $34 trillion mark, and there is no hope of paying it back.
The so-called repayment of debt, in fact, is borrowing new debt and old debt, the Federal Reserve is still unmoving to raise interest rates and reduce interest rates, stir up and down the price of U.S. debt, and the risk of holding U.S. debt is growing.
Even more disturbing is that the United States always takes the dollar as a weapon, see who does not follow the eye with financial sanctions cards on the neck, Russia is the forehead.
The foreign exchange reserves in our hands are the people's blood sweat money, can not be knocked on the U.S. rubbish account, rather than waiting for one day to get stuck in the neck, than to actively adjust, exchange money for something more reliable.
So China, on the one hand, shed U.S. debt, on the other hand, continuously buys gold, has increased its gold reserves for 10 consecutive months, gold is different, it is not printed by any country, no matter how the international situation changes, it is worth money, it is a real hard currency.
Between this decrease and one increase, China is actually "exchanging blood" for its foreign exchange reserves. In the past, the proportion of US dollar assets was too high, but now it is slowly dividing eggs into different baskets. The proportion of US dollars has dropped from 79% ten years ago to 58%, which is building a safety net.
This adjustment is a common financial operation, and clearly a well-thought-out national strategy is to hold financial security firmly in their own hands.
Looking back to Japan, I saw the risks, and in September 2024 also dumped $9.9 billion in U.S. debt, the total holding of $112.3 billion, remains the U.S. largest creditor.
Some say that Japan is "the closer it is", in fact, it is hard to say, the Japanese economy is supported by exports, must stabilize the exchange rate of the yen and the dollar, and the increase of U.S. debt is their old way ofining the exchange rate.
Moreover, Japan has long been engaged in low interest rates, the money in its hands has no good place to go, only to fake U.S. debt, but this approach is too passive, the U.S. debt risk is growing, once the U.S. debt is really a problem, the trillion assets in Japan's hands will have to significantly shrink.
Before the world has guessed that Japan will raise interest rates, once the interest rate is raised, the yen devaluation pressure is great, at the time it may still have to pay off the U.S. debt to save the market, now holding not to let go, say it is hard to ride the tiger, it is possible to wait for the "explosion".
Somebody may ask, is it not to blame the United States for leaving the U.S. debt? but what is this concern compared to being frozen assets and looking at the devaluation of the U.S. debt?
And this is not the idea of China, many countries around the world are paying U.S. debt to buy gold, everyone has seen clearly, the dollar credit is unreliable, the trend of dollarization has become obvious, China is only going more steadily and more resolutely.
At the end of the day, China's debt pollution is by no means the "runway" of bloodshed, but the lesson of Russia's tears, and the strategic choice behind the nature of American debt.
Against the view of Japan, tied by its own economic difficulties, can only passively hold the US debt to the future, two options, high and low judgment.
In the future, the debt hole in the United States will only get bigger and bigger. The earlier China adjusts, the earlier it can avoid risks. This is the real foresight.