Russia Testing Digital Asset Payments Ahead of BRICS Currency

Joshua Ramos
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Source: / istock

Russia is reportedly testing digital asset payment technology that may signal the creation of a BRICS currency. Specifically, the research phase may show that the economic alliance is developing a blockchain-based digital currency in its continued efforts to de-dollarize the global economy.

The statement was made by Russia’s Finance Minister Anton Siluanov when discussing ongoing talks with China over Yuan loans. Indeed, he noted that the digital currency payment tests were to begin with China and Eurasian Economic Union countries. Moreover, he stated that Moscow will “promote the idea with its partners.”

Also Read: BRICS To Take Loans in Chinese Yuan, Ditch US Dollar

Russia Tests Hint at Impending BRICS Digital Currency?

The BRICS economic alliance has spent most of 2023 firmly embracing a global shift away from the US Dollar. Indeed, the collective has implemented de-dollarization measures in its policies. Simultaneously, it has sought to increase the overall uses of its local currencies.

Meanwhile, reports have stated that the bloc is hard at work developing its very own native currency for trade settlement. The latest of these headlines referenced India conducting research into the idea. Yet, one update shows that Russia is testing digital asset payments in a move that could signal the basis for the BRICS currency.

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There have long been rumblings that a BRICS currency could be blockchain-based. Just last year, the blooc introduced BRICS Pay, a digital payment system that was to count the Wester-dominated SWIFT program. Subseuqnlety, a recent statement from Russia’s Finance Minister has assured that digital currency payments are a focus for Moscow shortly.

This could hint at the eventual arrival of a BRICS currency being digital. The idea would make sense, as it provides both an alternative for countries to settle outside of the US dollar, while also providing an incentive fo rhte diversification.

This technology could align with the overall trajectory of the finance sector. Therefore, the global shift could be aided by this newfound approach to settlement currency. Furthermore, a plethora of countries are already hard at work in developing their digital currencies. Recently, South Africa confirmed that it was developing stablecoins in 2024.