🏛 Central Banks & Macro risk-off · 1–3 years
A what‑if from the future

What if Digital-yuan cross-border rails gain trade share?

China scales e-CNY for cross-border trade settlement via mBridge, slowly widening yuan invoicing and trimming dollar dominance at the regional margin.

16%
our model probability
over 1–3 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 16% · 90% range 0–35% · 40 analogues · measured class de_dollarization 58% in 3 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — de_dollarization ≈0.2857/yr → 58% in 3 yr58%
Analyst prior · editorial share 28% of the class16%
Pooled · weight 87%17%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)17%
Published16%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 1–3 years horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. China scales e-CNY for cross-border trade settlement via mBridge, slowly widening yuan invoicing and trimming dollar dominance at the regional margin. The trigger decomposes into signed root‑shocks — China growth ▲ · Dollar/reserve confidence ▼ · Geopolitical risk ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Volatility (VIX) VIXon Hyperliquid 📈 chartVol▲ +2.5%
hist +0.37–+1.39% · other way +2.39% (n=12)
2Gold XAUon Hyperliquid 📈 chartCommodity▲ +1.1%
hist +0.06–+1.3% · other way -0.72% (n=12)
3Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -0.9%
hist -0.7–-0.23% · other way -0.39% (n=12)
4MicroStrategy MSTRon Hyperliquid 📈 chartEquity▲ +0.9%
hist -0.73–+2.82% · other way +25.38% (n=12)
5S&P 500 SPXon Hyperliquid 📈 chartIndex▼ -0.6%
hist -0.71–-0.06% · other way +0.87% (n=12)
6Bitcoin BTCon Hyperliquid 📈 chartCrypto▲ +0.5%
hist -4.33–+2.07% · other way +4.36% (n=12)
7Tech sector XLK 📈 chartEquity▼ -0.6%
hist -0.38–-0.22% · other way -0.19% (n=12)
8Coinbase COINon Hyperliquid 📈 chartEquity▲ +0.4%
hist -2.74–+5.38% · other way +23.07% (n=12)
9Aussie dollar AUD 📈 chartFX▲ +0.3%
hist -0.41–+0.29% · other way -0.94% (n=12)
10US dollar (DXY) DXYon Hyperliquid 📈 chartFX▼ -0.3%
hist -0.22–+0.07% · other way +0.39% (n=12)
1130y Treasury yield DGS30 📈 chartRate▲ +3bp
hist +0.49–+1.99% · other way +12.6% (n=12)
12EUR/USD EURUSDon Hyperliquid 📈 chartFX▲ +0.3%
hist -0.02–+0.21% · other way -0.39% (n=12)
1310y Treasury yield DGS10 📈 chartRate▲ +2bp
hist +0.77–+1.35% · other way +12.2% (n=12)
14Solana SOLon Hyperliquid 📈 chartCrypto▲ +0.2%
hist -9.55–+4.38% · other way -0.62% (n=12)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small gold hedge.
Also moves (not yet on Hyperliquid): Tech sector -0.6% · Aussie dollar +0.3% · 30y Treasury yield +3bp · 10y Treasury yield +2bp · Chinese yuan +0.2% · Freeport (copper) +0.2%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 Chinese yuan breaks 7 per dollar; US names China manipulator 2019-08 Tiananmen Square crackdown 1989-06 US-China extend tariff truce by another 90 days 2025-08 Israel strikes Iran — Operation Rising Lion 2025-06 US and China agree Geneva tariff truce, slashing rates 2025-05 Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 ASML bookings-miss crash 2024-10 October 2024 Iranian ballistic-missile attack on Israel 2024-10 Wagner Group mutiny against the Kremlin 2023-06 Offshore yuan hits a record low 2022-11 US advanced-chip export controls on China 2022-10 China fires ballistic missiles into Japan's EEZ during Taiwan drills 2022-08 Alibaba upsizes buyback to record $25 billion 2022-03 Russia central-bank reserves frozen 2022-02 Kaisa Group offshore default 2021-12 Evergrande debt crisis - global selloff 2021-09 Didi removed from China app stores after NYSE IPO 2021-07 Bitcoin May 2021 crash 2021-05 Saudi-Russia oil price war 2020-03 Huawei added to Entity List + ICT executive order 2019-05 Apple cuts revenue guidance on China weakness 2019-01 Bitcoin Cash hash war capitulation 2018-11 US List 3 tariffs on $200B of Chinese goods finalized 2018-09 US Section 301 List 1 tariffs take effect on China 2018-07 China retaliates: $50B tariff list incl. soybeans 2018-04 US Section 232 steel & aluminum tariffs imposed 2018-03 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 China stock-market circuit-breaker fiasco 2016-01 August 24, 2015 ETF flash crash 2015-08 Shanghai A-share bubble peak / crash begins 2015-06 OPEC abandons output defense, opting for market share vs US shale 2014-11 Egyptian revolution / Mubarak uprising 2011-01 US airline stocks plunge ~40% on first trading day after 9/11 2001-09 Hong Kong HKMA market intervention against speculators 1998-08 October 27, 1997 mini-crash 1997-10 Hong Kong defends the peg with sky-high HIBOR 1997-10 Asian financial crisis - Thai baht float 1997-07 Third Taiwan Strait Crisis 1996-03
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
NVDA NVDASHORT-2.8% · 5d -4.0%67%34 0.26✓ matches cascade
CNY CNYSHORT-0.5% · 5d -0.2%63%34 0.25⚠ differs
MU MUSHORT-4.7% · 5d -2.8%65%40 0.24✓ matches cascade
KWEB KWEBSHORT-2.6% · 5d -2.2%62%32 0.23⚠ differs
XCU XCUSHORT-0.8% · 5d -0.5%63%34 0.21⚠ differs
High-yield credit HYGSHORT-0.4% · 5d -0.1%63%33 0.20✓ matches cascade
SOL SOLSHORT-9.3% · 5d -16.6%63%17 0.18⚠ differs
TRY TRYSHORT-0.4% · 5d +0.5% ↺ fades62%33 0.18⚠ differs
QCOM QCOMSHORT-3.5% · 5d -2.5%61%39 0.18✓ matches cascade
AMD AMDSHORT-2.4% · 5d -1.5%60%40 0.17✓ matches cascade
Volatility VIXSHORT-0.4% · 5d +2.2% ↺ fades59%39 0.16⚠ differs
AUD AUDSHORT-0.5% · 5d -0.2%60%33 0.16⚠ differs
NDX NDXSHORT-0.2% · 5d -0.8%58%40 0.12✓ matches cascade
10y yield DGS10LONG+0bp · 5d +0bp57%40 0.11✓ matches cascade

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.