China's quest to turn the yuan into a global currency isn't actually driven by domination. It's about sanctions.

• China is pushing global use of the yuan to reduce the impact of potential Western sanctions.
• It aims to guard against sanctions in scenarios such as military conflict over Taiwan, a researcher says.
• But China's trade partners face challenges in using more yuan.

China is on a drive to expand the use of the yuan internationally, but a researcher says Beijing's near-term intent is more about protecting against sanctions than currency dominance.

"China's strategies to develop an alternative financial system are defensive rather than offensive — at least for now," Zoe Liu, a fellow for China studies at the Council on Foreign Relations, wrote on Wednesday.