The economic alliance of the BRICS met at the 2024 Summit, proposing to use Bitcoin (BTC) for international payments. The leader of the crypto could become the solution for de-dollarization promoted by the member countries.
BRICS and Bitcoin for international payments as a de-dollarization solution
At 2024 BRICS Summit , there was a revelation that interests the entire crypto-community: Bitcoin has been proposed as an international payment method.
The BRICS is the economic alliance initiated by Brazil, Russia, India, China, and South Africa that continues to be of interest to emerging countries for their mission.
In fact, basically, the BRICS aim to find new ways to promote local currencies, seeking to move away from Western economic dominance. In other words, the BRICS aim to implement de-dollarization, that is, to challenge the dominance of the US dollar in the world economy.
Thus, at the 2024 Summit, the proposal to implement Bitcoin for international payments emerged. Not only that, according to a Bloomberg report, legislators have asked that Russian miners sell BTC internationally.
As the BRICS Summit Kicks Off, Top Lawmakes Are Pushing the Idea that Russian Miners Could Sell Their #Bitcoin to International Buyers, Who Would Use BTC and Other Crypto to Pay for Imports, Effectively Bypassing Western Sanctions.
— matthew sigel, recovering CFA (@matthew_sigel) October 23, 2024
“With the start of the BRICS summit, the most important legislators are promoting the idea that Russian miners can sell their #Bitcoin to international buyers, who would use BTC and other cryptocurrencies to pay for imports, effectively bypassing Western sanctions.”
Specifically, these miners could use Bitcoin and other cryptocurrencies to facilitate the creation of a new way to regulate commercial exchanges. It involves making BTC function similarly to local currencies, as an approach to de-dollarization. This system could offer greater protection from increasing Western sanctions.
BRICS: “Bitcoin as a solution against the dominance of the US dollar”
In the BRICS alliance, Bitcoin and all the crypto could really play an important role in the coming years.
In fact, the de-dollarization approach is gaining more and more support among countries, especially emerging ones.
The idea is precisely to reduce the economic dependence of one’s country on the US dollar, and thus strengthen trade in local currencies.
At the end of September, it emerged that there are already 40 countries interested in joining the BRICS. Specifically, these are countries from Asia, Africa, and South America.
These countries see in the BRICS alliance their opportunity to join an alternative economic system, where their potential is not hindered by the current US dominance.
In fact, the idea here is to use local currencies for bilateral and multilateral trade, which do not have to comply with the conversion costs associated with the US dollar and allow exposures to exchange rate fluctuations to be reduced.
The price of BTC
While Bitcoin is being discussed at international economic alliance summits, the price of BTC seems to be above the 68,000$ mark. At the time of writing, BTC is worth 68,376$.
Analyzing this October, almost at its end, it seems that until mid-month, the price of BTC was in the red zone, in a range of $59,000 – $65,000.
On the contrary, from October 15th until today inclusive, the price of BTC has risen to a range of $65,000 to $69,000.