The dollar is plummeting, other currencies including the Euro and the yen are surging. One of the reasons was a comment from the governor of the Chinese central bank. How times change. China is currently said to be reconsidering its dollar holdings versus shifting portions of its foreign exchange reserves into other currencies. Carl Weinberg, whose High-frequency Economics is one of my must-reads, is skeptical of this view, which means we must be cautious. But the forex volatility raises for me the question of when the RMB will become a reserve currency. It will surely happen one day, and China can only gain from other countries investing in its currency. But that can only happen, of course, after China makes its currency freely convertible. It is time.