BRICS Nations Reject Crypto Yet Steal Its Best Ideas — Click to Uncover Details

The BRICS nations reject crypto, but see the value in transitioning away from the US dollar’s dominance. The BRICS nations, comprised of Brazil, Russia, India, China, and South Africa, have long been vocal critics of cryptocurrencies. However, in a surprising turn of events, these economic powerhouses are now embracing the underlying technology behind digital currencies, announcing plans to launch their own stablecoin for cross-border transactions.

BRICS nations rejected crypto, yet are now exploring a gold-backed stablecoin to challenge the US dollar in trade. This move seems like a surprising reversal, embracing crypto’s core idea for a more stable version suited to their needs.

Gold-Backed Hypocrisy?

A recent post from @BRICSinfo reveals the coalition’s interest in creating a crypto stablecoin specifically for international trade settlements. With their substantial gold reserves, this move could indeed minimize their economic dependence on the Western financial system. This effort intensifies BRICS’s ongoing campaign for a “multi-polar world”—a euphemism for diluting America’s economic influence.

The irony is almost too rich to ignore. These are nations that have, at times, implemented draconian bans and regulations against the decentralized ethos of cryptocurrencies, yet they now seek to embrace a centralized, BRICS-controlled digital currency. It’s like banning all music to prevent dancing and then hosting a state-sponsored gala where only government-approved tunes are played.

Countries like China and Russia, once vehement opponents of cryptocurrencies’ unregulated nature, now find themselves attempting to co-opt the very technology they once sought to suppress. China, which orchestrated a sweeping crackdown on crypto mining and trading, is a driving force behind this proposed stablecoin. Russia, facing economic isolation due to Western sanctions, has been a vocal advocate for transitioning away from the US dollar’s dominance.

BRICS Eyes Stablecoins for Cross-Border Transactions

Reports indicate BRICS is exploring the creation of a stablecoin – a cryptocurrency pegged to a stable asset like gold or fiat currency. This stability contrasts with the wild price swings often associated with traditional cryptocurrencies.

Russia’s Deputy Foreign Minister, Sergei Ryabkov, recently hinted at the potential benefits of a BRICS stablecoin for international trade. This aligns with ongoing discussions within the bloc regarding the use of virtual assets for global settlements.

“It is worth mentioning that all the newcomers show great enthusiasm. They are ready to work substantively and professionally on the agenda that the Russian Chairmanship developed in consultation with all participants. Second, of course, for some recruits the volume and scale of the work we are doing in BRICS was somewhat unexpected. You need to adapt and get used to all this.“

Sergei Ryabkov

The BRICS initiative comes amidst a surge in stablecoin adoption. Venezuela, for instance, reportedly uses Tether (USDT) for oil sales to bypass US sanctions. Additionally, Singapore-based payment companies are integrating stablecoins like PYUSD to streamline transactions.