The most powerful signal penetrating the flow of the global financial market is currently emerging from China. Amid rising tensions between the US and China, and as concerns spread about the instability of currency values across nations, China is choosing gold as the last bastion to protect its economy. This is interpreted as a move to build a strategic defense shield at the national level, going beyond mere investment preference. Recent statistics reveal that China's gold imports are accelerating once again, drawing the attention of economic experts worldwide.
In March of last year, China's gold imports from abroad reached an astonishing 162 tons. This figure not only sets a new record since March 2024 but also shows a consistent upward trend in imports over three consecutive months. Furthermore, the cumulative imports from the beginning of this year to the present are on a massive scale, reaching approximately 365 tons. The background for securing such a huge volume is not only the enthusiastic buying by private investors but also the strong influence of strategic accumulation by institutions and the state.
China's central bank, the People's Bank of China (PBOC), announced that it newly secured 5 tons of gold in just one month of last March, setting a record for the largest purchase since February 2025. This is the result of the PBOC increasing its gold holdings for 17 consecutive months, and China's official gold holdings have reached 2,313 tons, once again setting a record high. The Chinese authorities are clearly expressing their intention to reduce the proportion of US Treasury holdings and instead expand the proportion of gold as a tangible asset. This can be seen as a step in the "de-dollarization" line to seek independence from the dollar-centric international financial order, and it reflects the will to reduce dependence on currency-based assets such as US Treasuries.
China's obsession with gold is also driven by internal economic instability. Amid the difficulties China's domestic economy is facing, such as the stagnation of the real estate market and the loss of growth engines, investors are pointing to gold as the safest asset. This phenomenon not only applies to gold but also throws important implications for the Bitcoin market, which is also called "digital gold." The price rise and surge in demand for gold, a traditional safe asset, naturally increase interest in alternative assets, and there is a consistent suggestion that Chinese capital may flow into digital assets as well as gold. In particular, with Hong Kong, which is actively cultivating the digital asset industry, this flow of funds could be accelerated, and it is expected to become a major variable in the future virtual asset market.