- Russia unveils a BRICS blockchain-based payment system to challenge US dollar dominance in global trade.
- The system aims to serve governments, businesses, and the public, integrating digital currencies and blockchain technology.
- Launch details are expected at the 16th BRICS summit in October, emphasizing cost-efficiency and political neutrality.
On Tuesday, Russia, a BRICS nation, unveiled its plans for a novel blockchain-based payment platform. This system, leveraging blockchain and cryptocurrency technology, aims to serve as a sovereign medium for conducting trade transactions. It’s positioned to offer an alternative to the traditional dominance of the US dollar in global trade.
The newly proposed BRICS payment infrastructure intends to cater to a wide array of stakeholders, including governments, businesses, and the general public. Its success could significantly benefit entities across various levels, from national governments down to ordinary citizens.
Yuri Ushakov, a Russian official, highlighted that this cutting-edge payment system will integrate digital currencies and assets using blockchain technology. This initiative by BRICS could challenge the supremacy of the US dollar by enabling member states and other emerging economies to carry out international trade through this new system. Such a move is expected to exert downward pressure on the demand and supply of the US dollar in international markets.
Ushakov emphasized that a key objective for BRICS this year is to expand its influence within the global financial framework. The introduction of a blockchain-based payment system marks the initial step towards advancing the coalition towards a new era of international prominence.
“We believe that creating an independent BRICS payment system is an important goal for the future, which would be based on state-of-the-art tools such as digital technologies and blockchain. The main thing is to make sure it is convenient for governments, common people and businesses, as well as cost-effective and free of politics.”
Yuri Ushakov, Russian official
He conveyed the importance of establishing an autonomous BRICS payment system as a crucial ambition for the future. This system is envisaged to harness cutting-edge technologies, including digital and blockchain technologies. The primary focus is to ensure that the system is accessible and beneficial for all users, including governments, the general populace, and businesses, while also being cost-effective and politically neutral, according to his statement to Tass.
However, Ushakov stopped short of specifying an exact timeline for the debut of this innovative BRICS payment mechanism. It is anticipated that further details or the launch itself might be revealed during the 16th summit scheduled for October this year.
