China is still in its infancy digital yuanRichard Turrin author of “Cashless China’s Digital Currency Revolution” says that the US is likely to be challenged by the dollar in international trade settlements over the coming decade.

Turrin, CNBC’s “Squawk Box Asia,” said that China is China’s largest trade country. “Digital yuan will slowly replace the dollar in China when you buy things there,” Turrin stated to CNBC on Monday.

Turrin, who was a banker before moving into fintech, said, “If you look about five to 10, yes, the digital yuan could play a significant part in reducing dollar’s usage international trade.”

According to him, the desire for alternative payment systems will likely stem from countries’ current “mostly 100%” dependency on the dollar.

He said, “What you will see in the future, is a rollback. This risk management exercise seeks slowly but maybe just slightly to reduce dollar dependence, from 100% to 80% to 85%.”

Turrin said that Beijing will not use the digital Yuan to bypass crippling West sanctions.

Turrin stated that the digital yuan was a baby because it has not been launched in China yet nor had it tested internationally.

This means that it is technically impossible for China to borrow its CBDC from Russia to rescue the country. According to him, Beijing may also want to protect its currency from political mud.

“[China]Will eventually want to be a parent. [the digital yuan]Turrin stated that the ban was widely accepted, and it would be a sanctions-buster even though it is still infantile.