The world's largest debt holders have recently taken completely different paths.

On one side, China continues to sell off US Treasuries, with holdings dropping to $688.7 billion, hitting a 17-year low. On the other side, Japan and the UK are desperately buying, with Japan's holdings surpassing $1.2 trillion. As central bank-level players, why have they made such opposite choices?

**China's "De-risking" Strategy**

This is not a short-term move. China is playing a big game. Essentially, there are two main reasons: not putting all eggs in one basket, and responding to the current complex international situation.

While reducing US Treasury holdings, China's central bank is aggressively accumulating gold. Its gold reserves now exceed 74 million ounces. This move is about more than just optimizing foreign exchange allocations—gold is the real chip to hold the initiative, especially in the context of promoting the internationalization of the Renminbi. Gold reserves are the most solid "ballast" in this process.

**Japan and the UK's "Helpless Measures"**

Japan's increased holdings of US Treasuries? It may seem crazy, but there's a deeper meaning. Holding so much US debt gives Japan leverage in negotiations with the US, and even the ability to secure US support on regional issues. Long-term low interest rates domestically mean capital must seek returns overseas. Coupled with Japan's long-standing reliance on US assets, with substantial overseas investments anchored in the US market, a difficult-to-unbind entanglement has formed.

The UK’s significant increase is to maintain its role as an "international financial center," requiring continuous liquidity within the dollar system and maintaining a special relationship with the US.

**But how long can the US debt myth last?**

Just look at the current situation. The total US debt has surpassed $38 trillion, with annual interest payments reaching astronomical levels. Even international rating agencies have begun to downgrade the US credit rating.

What’s more painful is that global central banks are clearly voting with their feet—since 1996, the proportion of gold in reserve assets has exceeded US Treasuries for the first time. This is not just a numerical change but a clear signal: the label of "risk-free asset" is loosening.

As the pillars of the old order begin to shake, new power structures and asset allocation logic are emerging simultaneously.