Settlement is leading indicator / proxy of trust. The point is countries trust in PRC running financial pipes is increasing, because vs US/EU, PRC simply look more responsible.

USD treasury isn't great now AND trending towards bag holding catastrophic "our dollar your problem" depending on debasement velocity. Hence central banks ditching dollar for gold etc... it's still currently better than other options in the sense that no other options really exist except metals with no counter party risk. More this happens the more exorbitant and less privilege USD becomes, the worse it serves as reserve, the more opening for alternatives. This where PRC eventually comes in, i.e. recent reserve talk is for eventuality not hand off. In the meantime they are banking on USD being not great, and getting worse. Which increases rates -> increase debt finance / servicing cost. The system is getting worse for everyone, including US. Don't underestimate watching US debt servicing growing from 1T to 2T in a few years when US realizes exorbitant reserve currency without privilege is not worth maintaining. Waiting for US to recognize USD reserve isn't great for US is part of the transition.