INSUBCONTINENT EXCLUSIVE:
Brazil has proposed a blockchain-based payment system for BRICS trade transactions, abandoning earlier plans for a common currency.The
Brazilian presidency, which began in January 2025, outlined this initiative as a central priority for its one-year term leading the
The proposal focuses on enabling direct transactions in local currencies without converting to US dollars first.Brazil aims to leverage
blockchain technology to create a secure infrastructure that reduces transaction costs and processing times between member nations
This approach represents a pragmatic solution to enhance economic cooperation while avoiding direct confrontation with dollar
The strategy shifted after US President Donald Trump threatened 100% tariffs against countries attempting to challenge dollar hegemony in
global trade.Brazilian officials now emphasize that their plan focuses on payment facilitation rather than currency replacement
(Photo Internet reproduction)Launched in 2020, Pix revolutionized financial transactions in Brazil and could serve as a model for
interconnected BRICS payment systems
The country also plans to expand its Local Currency Payment System currently operating with Argentina, Uruguay, and Paraguay.Economic
Cooperation and Technological InnovationBRICS has grown significantly beyond its original five members
The bloc now includes Brazil, Russia, India, China, South Africa, Saudi Arabia, Egypt, United Arab Emirates, Ethiopia, Indonesia, and Iran
Nine additional partner countries complete the alliance: Belarus, Bolivia, Cuba, Kazakhstan, Malaysia, Nigeria, Thailand, Uganda, and
Uzbekistan.Together, these nations control 42% of global foreign exchange reserves and represent approximately 37% of world GDP
for July 6-7 in Rio de Janeiro, will address this payment system alongside other priorities.Brazil has established five key goals for its
presidency: facilitating trade and investment, regulating artificial intelligence, tackling climate change, strengthening public health
cooperation, and developing BRICS institutions.The blockchain proposal offers BRICS members a technological path to reduce sanctions
vulnerability while maintaining financial sovereignty in an increasingly multipolar economic landscape.
