BRICS Adopts Cryptocurrencies for Investment, Launches New Digital Payments Platform

Crypto to Change BRICS Economic Policies

Putin emphasized the importance of digital currencies saying they will empower BRICS countries and emerging economies. “We will discuss the use of digital currencies in investment by BRICS countries which will also benefit other developing economies with good prospects” he said.

Putin’s speech highlighted the bloc’s long term goal to reduce dependence on US dollar and Western financial system. This move towards digital currencies is not only in response to international sanctions but also towards financial independence and more cross border trade among member countries.

Putin mentioned that the group is working on a comprehensive regulatory framework to oversee these developments under BRICS institutions’ supervision for structured and secure adoption.

BRICS bloc adopts cryptocurrencies for investment payments

The BRICS economic alliance has officially adopted cryptocurrencies for investment payments, as announced by Russian President Vladimir Putin at the BRICS Business Forum in Moscow. According to Watcher Guru, this…

— CoinNess Global (@CoinnessGL) October 18, 2024

BRICS Pay Platform: A New Era for Cross Border Transactions

A key part of this new financial direction is the BRICS Pay platform, a blockchain based platform for cross border transactions within the group. Launched at the forum, the platform aims to simplify financial transactions among member states and reduce their dependence on traditional Western payment systems like SWIFT. Russia and China have been big proponents of BRICS Pay seeing it as a way to bypass US led sanctions and reduce the role of dollar in global trade.

Russia’s recent lifting of ban on digital assets for international payments has paved the way for this broader adoption. BRICS Pay will be a key part of the group’s economic cooperation and financial independence strategy.

Russia’s New Direction and BRICS Expansion

Besides adopting digital currencies, Putin also emphasized the group’s focus on financial stability. He mentioned BRICS members are working on a SWIFT like financial messaging system and using national digital currencies to finance high growth projects. These are part of a bigger plan to increase financial independence and deepen economic ties among BRICS members.

Besides financial innovations BRICS is also expanding. The group has recently added new members including Egypt, Ethiopia, Iran and UAE. Over 30 other countries have expressed interest to join the group and more discussions will be held at the 2024 BRICS Summit in Kazan.

Putin is optimistic that BRICS will lead the global economic growth in the coming years as the group’s economies are growing faster than the West. Russia in particular has made big progress in implementing digital currency strategy despite Western sanctions.

Russia’s Digital Plans: Legalizing Crypto Mining and Digital Ruble Testing

Putin mentioned Russia’s recent legislation which includes legalizing cryptocurrency mining and enabling international crypto payments. This is a big shift for Russian businesses to use digital currencies for cross border transactions as the sanctions are ongoing. Russia’s central bank is also testing the digital ruble and will launch it fully in 2025.

At the forum Putin also asked the New Development Bank – the BRICS multilateral institution – to invest in priority sectors like technology, infrastructure, e-commerce and artificial intelligence. He emphasized the importance of these investments especially for the Global South as part of the bloc’s global ambitions.

What happened on crypto this week?!

– BlackRock's Bitcoin ETF has brought in over $1 billion in BTC this week.
– The SEC approves NYSE options for trading on spot Bitcoin ETFs.
– Vladimir Putin says BRICS will adopt "digital currencies" for investments.
– Morgan Stanley holds…

— Kulio🥷₿ (@sikhingcrypto) October 19, 2024

Conclusion

• Crypto for Investments: BRICS adopts digital currencies for investments, the shift towards decentralized finance is happening within the group.

• BRICS Pay Platform: A new blockchain based platform for cross border transactions and to reduce dependence on Western financial networks.

• Expansion and Financial Independence: BRICS adds new members and more to come, focus on financial independence.

As BRICS expands its economic footprint the adoption of digital currencies and BRICS Pay platform means the group is reducing external financial dependencies and growing within the member states. This is the group’s plan to change the global economic landscape in the coming years.