Vladimir Putin is making waves with his vision for BRICS. As the group continues to expand, so does its economic power. Recently, there has been a lot of buzz about the role of digital currencies, like Bitcoin and XRP, in this global shift. Could BRICS reshape the world economy using crypto? Let’s dive into what’s happening.

BRICS Driving Economic Growth

The group of Brazil, Russia, India, China, and South Africa has expanded to include Egypt, Ethiopia, Iran, and the UAE. Putin is confident that this growing alliance will drive the majority of global economic growth. With their combined size and rapid development, it’s clear why. He believes they can act as a counterbalance to Western influence, particularly the dominance of the US dollar.

These countries are working diligently to strengthen their economic independence. They are developing systems to reduce reliance on outside forces, a move that, according to Putin, will reshape the global economy in the near future.

BRICS Exploring Digital Currencies

Digital currencies have become a major focus for the group. While Putin stated that adopting Bitcoin and XRP is still premature, the idea remains under consideration. He recently confirmed that they will continue exploring digital currencies, with the primary goal of reducing reliance on the US dollar and increasing economic independence. Blockchain technology could play a key role in managing cross-border payments more efficiently, bypassing traditional financial systems dominated by the West.

The group is already working on building a new financial system, discussing the possibility of launching crypto exchanges and a stablecoin to further support their de-dollarization efforts.

JUST IN: BRICS to use digital currencies for investment developments. pic.twitter.com/i7u7JFsC55

— BRICS News (@BRICSinfo) October 18, 2024

Building Cross-Border Payment Systems

The creation of a BRICS cross-border payment system could mark a turning point. Putin’s government has been hinting at this for some time. The idea of a gold-backed digital currency has been floating around, but it’s still in development. There are many ways BRICS could handle cross-border payments, from using local currencies to embracing digital currencies like XRP and Bitcoin.

Digital ledger technology (DLT) has emerged as the preferred solution. This technology could simplify payments between BRICS nations and help cut costs by removing intermediaries. As the Kazan Summit approaches, this topic will surely be a major point of discussion.

BRICS in the Crypto Economy

While it’s clear that BRICS countries see value in digital currencies, the adoption of Bitcoin and XRP is still a work in progress. Putin and other BRICS leaders are more focused on national currencies for now. However, the potential is there. Blockchain and crypto technology could enable faster, more secure transactions for BRICS and beyond.

By adopting digital currencies, BRICS could not only counter Western dominance but also establish a new financial order. As they build their own systems, the need for traditional financial institutions could decline, opening up more space for crypto.

Conclusion

The future of Bitcoin and XRP within this BRICS remains uncertain but full of potential. As the group expands, the role of crypto in global finance becomes more likely. Although Putin has stated it’s too soon to fully adopt digital currencies, the overall direction points toward increased exploration of this option. With numerous possibilities ahead, the coming years could see significant shifts in the global economy, with crypto possibly taking a central role.