BRICS Nations Eyeing Bitcoin to Replace US Dollar

• BRICS Considers Bitcoin to Promote De-dollarisation
• BRICS and Bitcoin: A Potential Ally Against the US Dollar
• The Potential of Bitcoin in the New Monetary System
• Bitcoin's Role in Dethroning the Dollar

BRICS Considers Bitcoin to Promote De-dollarisation

In the midst of increased efforts to move away from the US Dollar, and following the rise of digital currencies, the BRICS alliance may leverage the recent breakthrough of Bitcoin$42,260 -0.64% to aid their de-dollarisation venture. The cooperative has for a while contemplated the introduction of a native digital asset. However, the major cryptocurrency can already support its ambition to mitigate Western dominance. Bitcoin's recent leaps and bounds, propelled by regulatory advancements in the U.S., has made it a viable contender. The U.S. Securities and Exchange Commission's (SEC) approval of 11 Spot Bitcoin ETFs has been instrumental in boosting Bitcoin's status. The investment vehicle is projected to attract over $4 billion in inflows. This increase in relevance could translate into a global phenomenon that furthers BRICS' de-dollarisation objectives.

BRICS and Bitcoin: A Potential Ally Against the US Dollar

In the last year, the BRICS alliance has been characterised by three principal initiatives: de-dollarisation, expansion, and the introduction of a native currency. As of early 2024, the coalition has achieved significant expansion and made considerable progress in de-dollarisation. The remainder of the year is expected to witness a sustained commitment to these objectives.

Within this context, there is a clear advantage to be drawn from the escalating digital asset trend. Specifically, for the BRICS alliance, the continuous growth of Bitcoin may aid the coalition in distancing itself from the US Dollar.

The Potential of Bitcoin in the New Monetary System

Recent analysis by the International Business Times on the expanded BRICS affirmed the potential advantage of integrating Bitcoin. They specifically pointed out the increasing feasibility of cryptocurrencies playing a crucial part in a new global monetary system.

Dmitry Gooschin indicated, The rise of Bitcoin and other cryptocurrencies recently clearly signals that investors are exploring alternatives to the current currency system. This goes beyond mere investment; the digital asset could play a key role in the emergence of this new monetary system.

Bitcoin's Role in Dethroning the Dollar

Despite being heralded as the potential currency to overthrow the Dollar, the Euro failed to achieve this feat. While the yuan and Ruble are possibilities, they still have a long road ahead. Bitcoin, a largely accepted currency, stands a chance, provided its adoption and acceptance continue to increase. Even if the alliance does not adopt this specific asset, it should consider blockchain technology as the cornerstone of its indigenous currency development.

Edited by Jonathan Stoker