“BRICS already have a common currency”: Jim Rickards’ shocking revelation

Faced with intensifying global economic tensions, the central role of the dollar in international trade is increasingly being called into question. At the heart of this upheaval, the nations of the BRICS bloc are seeking to free themselves from this dependence through the exploration of alternative solutions. According to economist Jim Rickards, these countries already have a common, unofficial currency: gold. This discreet but strategic approach allows them to circumvent the financial pressures exerted by the United States, particularly through economic sanctions. While the United States is intensifying the use of the dollar as a geopolitical weapon, the BRICS are putting up a resistance that could redefine the rules of trade on a global scale. This strategy raises questions about the future balance of the international monetary system.

Bird's-eye view of a round table with BRICS representatives discussing intensely. A symbolic character handling a golden coin marked with BRICS flags.

BRICS, between economic pressure and monetary innovation

Jim Rickards, renowned economist and author, argues that BRICS do not need to create a single currency to facilitate trade. In his eyes, gold already fulfills this role, as the precious metal acts as an unofficial common currency within the bloc. This statement was made during an interview broadcast on Bannon's War Room on December 3, 2024, a channel hosted on the Rumble platform.

The use of gold by the BRICS comes against a backdrop of increasing pressure exerted by American economic sanctions. Indeed, the United States uses the dollar as a tool of political influence, which has pushed countries like Russia to put in place alternative mechanisms to maintain their trade relations. These measures include bilateral transactions in national currencies, such as the yuan or ruble, balanced periodically with payments in gold. According to Rickards, this strategy offers an effective and pragmatic solution, allowing BRICS to free itself from dollar-dominated institutions, such as the SWIFT system.

This model is not only a functional alternative, it also represents a strategic challenge for the United States. Rickards goes so far as to advise the US Treasury to strengthen its own gold reserves in order to counter this dynamic: “If I were in the US Treasury, I would start buying gold to make their job more difficult”, noted-he. This observation highlights the way in which the BRICS approach could modify geopolitical and financial balances in the long term.

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Gold, a strategic lever in the face of the domination of the dollar

Jim Rickards goes further and even describes American economic sanctions as an “act of war”. According to him, these coercive measures have a profound impact, forcing BRICS to intensify economic collaboration and reduce their dependence on the dollar. He clarifies that these countries do not necessarily want to abandon the American currency, but are forced to do so by what he calls its “militarization” through sanctions and financial restrictions. This context has pushed BRICS members to consolidate their alternative mechanisms, in particular the use of gold, which they consider to be a timeless and reliable store of value, immune to geopolitical fluctuations.

The strategic importance of gold in this setup cannot be underestimated. Historically used as a monetary stabilizer, gold could regain a central place in the global financial balance if this trend persists. Rickards anticipates that this approach could profoundly restructure international trade, favoring bilateral agreements and settlements in tangible assets, away from dollar-dominated systems. This initiative could also inspire other economic blocs to explore similar solutions, which would thus amplify the pressure on the hegemony of the dollar. For the United States, this development constitutes a major challenge and illustrates the limits of a policy based on sanctions which indicates the risks of excessive dependence on their currency in global trade.

The strategy adopted by the BRICS embodies an important opposition to the monetary domination exercised by the United States. Thanks to gold, these nations demonstrate that there is a pragmatic and credible alternative to circumvent the restrictions imposed by American economic sanctions. This strategic choice goes beyond responding to immediate challenges. It is part of a long-term vision whose objective is to redefine the foundations of international trade. This dynamic is causing growing interest on a global scale. If this approach were to become widespread, it could lead to a reconfiguration of economic alliances and monetary systems.

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