The BRICS economy has discussed the usage of digital assets in international settlement, with its statements hinting that it could be poised to develop its very own crypto stablecoin. Indeed, Russian Deputy Foreign Minister Sergei Ryabkov recently discussed the role that such a stablecoin could play for the collective.
Ryabkov remarked on the important economic projects that Russia will confront as the 2024 Charimanship holder. Moreover, he notes that the bloc has held discussions on native platforms and the utilization of digital assets in conjunction. Therefore, could the bloc be set to create its very own BRICS crypto stablecoin this year?
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BRICS Stablecoin on the Horizon?
There is no understating of the prevalence of the stablecoin market. The fiat currency-backed digital assets have recently seen their market exceed the $160 billion mark. The massive feat was one not seen since 2022, noting the upward trajectory of the asset class heading clearly shown in 2024.
Now, one of the fastest-growing economic alliances could be poised to partake in that market. Indeed, the BRICS alliance may well be working to develop its very own crypto stablecoin. According to Russia Deputy Foreign Minister Ryabkov, the creation of a BRICS Bridge to unite the bloc’s financial systems has become a focal point.
Moreover, the bloc has sought possible settlements in stablecoins. Yet, the important aspect of this is the requirement of a native Central Bank digital system in order to dock these currency systems. So, the bloc may well be hard at work developing their own stablecoin for this very purpose.
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Through the creation of a BRICS stablecoin, the bloc could create its very own native currency in a sense. It would be unified through the members of the collective,e and could work as international settlement currencies through the aforementioned bridge.
There are a plethora of questions, including how to ensure the value of the asset. However, these same questions persisted as the bloc was working to create its very own native digital currency.
The digitization of modern finance is an undeniable reality of the global economic landscape. Moreover, BRICS has proven to be ahead of the curve thus far, developing Central Bank Digital Currencies (CBDC) to great success. A stablecoin’s presence could take those efforts one step forward.