BRICS weighs in on using stablecoins in settlements, Russian official says

BRICS members explore stablecoin payments and a platform to conduct CBDC payments, aiming to enhance financial cooperation, a Russian official says.

Stablecoins might become a tool for international settlements among BRICS members, as the alliance has already set up a special communication channel between central banks. In an interview with TV BRICS, Ryabkov disclosed that BRICS nations are considering the possibility of utilizing stablecoins for international settlements.

While specific details were not provided regarding the use of existing products, Ryabkov mentioned ongoing discussions surrounding the creation of “BRICS Bridge,” a platform aimed at interlinking central bank digital currencies (CBDCs) in a bid to foster financial cooperation among BRICS member countries.

However, the current status of these discussions and whether a consensus has been reached among BRICS members regarding the timeline remain unclear.

Russia has been actively pursuing strategies to reduce reliance on the U.S. dollar within BRICS through blockchain technology for a while now. In an interview with the Russian state-owned news agency TASS, Kremlin aide Yury Ushakov revealed efforts to develop a blockchain-based system for BRICS, although he didn’t disclose the timetable for the initiative.

For several months, Moscow has been advocating for a blockchain-based solution for BRICS, particularly as Western sanctions escalate. In September 2023, Russian prime minister Mikhail Mishustin emphasized the necessity for the city to implement cross-border settlements utilizing blockchain technology and digital assets. Mishustin highlighted that such initiatives would offer “more possibilities” for attracting foreign investments.