Russia takes over the BRICS presidency in 2024. Dedollarization will accelerate, as will cross-border payments involving CBDCs.
Moscow takes over BRICS presidency
The first meeting of BRICS Sherpas is currently being held in Moscow. Representatives from the five new members (Egypt, Iran, Saudi Arabia, United Arab Emirates and Ethiopia) participated for the first time.
Following the theme guiding the BRICS alliance throughout last year, Russia reiterated that abandoning the US dollar was the top priority for 2024.
“In line with the decision taken by BRICS leaders in Johannesburg, we will explore ways to make greater use of national and local currencies and payment instruments in our cross-border transactions. The aim is to reduce the negative side effects of the current international monetary system [dollar + swift] »has declared Russian Sherpa Sergey Ryabkov.
Chinese Sherpa Ma Zhaoxu also called for using national currencies in international settlements. “We should strengthen our cooperation and promote the development of the New BRICS Development Bank (NDB)”he added.
His Iranian counterpart Mehdi Safari indicated that Tehran also expected an intensification of the transition to settlements in national currencies during the Russian presidency of the alliance.
“In the 2024 plans, I hope that these economic and financial pillars, in particular banking and financial issues, payment systems, digital currency, common currency, exchanges in national currencies etc., will accelerate and will become operational”, does he have spear.
Dedollarization will increase in 2024. And it is probably no coincidence that the United States’ military threats towards Iran are becoming more and more insistent… Washington seems ready to go to war to prevent deterring countries of the Middle East to join the monetary revolt.
This is why the world needs a stateless currency and payment system. This non-censorable, and moreover non-inflationary, currency is Bitcoin!
It is time for BRICS to realize this rather than relying on CBDCs and the Bank of International Settlements.
China and UAE bypass SWIFT network
The first cross-border payment using digital dirham (CBDC) has been successfully made by the United Arab Emirates.
Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Governor of the Central Bank of the United Arab Emirates (CBUAE) initiated the payment with fanfare on Monday. The transaction took place during a celebration marking the 50th anniversary of the CBUAE.
This historic cross-border payment was destined for China. The operation was carried out through the “mBridge” platform which is developed under the aegis of the Bank for International Settlements.
Mbridge aims to replace the SWIFT network. The Hong Kong Monetary Authority, the central banks of China, Thailand and the United Arab Emirates are in charge of the project.
The aim is to connect CBDCs from different countries via a single common infrastructure “enable cross-border payments to be immediate, inexpensive and universally accessible”.
We can read on the site from the Bank for International Settlements:
“This infrastructure is based on a blockchain: the Ledger mBridge. The latter facilitates peer-to-peer cross-border payments as well as foreign exchange transactions using CBDCs. The use case is for international trade. »
Very good, but if this blockchain is “distributed”, is it also “decentralized”? In other words, could it be that nations are disconnected like with the SWIFT network? And what about liquidity?…
Regardless, these developments indicate that BRICS will use the greenback less and less. This ultimately bodes very well for bitcoin.
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