BRICS is an international organization that brings together, among others, Brazil, Russia, India, China and South Africa. Faced with the hegemony of the dollar, BRICS explore the use of cryptocurrencies to strengthen their sovereignty.
A platform to dedollarize trade
This is not news to anyone, the BRICS wish compete with the hegemony of the US dollar. Faced with increasing economic tensions, BRICS are now turning to blockchain.
So, we just learned that Deputy Chairman of the State Duma Alexander Babakov proposed to create a unified BRICS exchange that would use blockchain and cryptocurrencies for international settlements.
This platform would be according to Babakov “the key to the economic sovereignty and independence of our countries”.
Cryptocurrencies to circumvent international sanctions
Obviously, this project would also make it possible to circumvent the economic sanctions which hit certain members such as Russia.
In practice, this platform would allow members of the conglomerate to trade on their products, including raw materials and goods.
Although the platform would allow members to make payments in their national currencies, BRICS also wants to develop settlement mechanisms based on blockchain and a “single virtual currency”.
Thus, this suggests the parallel creation of a cryptocurrency common to the BRICS member states.
However, it is still difficult to know when this cryptocurrency could see the light of day. In fact, last March, the BRICS expressed their desire to create this currency within the year. As the end of 2024 approaches, however, this has not yet seen the light of day.
Software and distributed systems engineer by training, passionate about cryptos since 2013. Jack of all trades, between mining and development, I am always looking to learn more about the world of cryptocurrencies and to share the fruit of my research through my articles .
