China Prepares mBridge Launch to Challenge Dollar Dominance in Global Payments

China is preparing the commercial launch of mBridge, a blockchain‑based cross‑border payments platform backed by five central banks, aimed at reducing reliance on dollar‑dominated systems like SWIFT. The consortium PBoC, HKMA, Thailand, UAE, and Saudi Arabia will establish a Hong Kong legal entity. mBridge has already processed ¥470B ($69B) across 4,000+ transactions, with the digital yuan making up 95% of settlements. Fees are about half conventional systems, targeting SMEs. Analysts say mBridge may not dethrone the dollar but could erode its dominance in energy and commodity trade corridors.