The BRICS nation bloc—Brazil, Russia, India, China, and South Africa—has officially launched its highly anticipated cross-border payment system, “BRICS Pay.” The blockchain-based platform, designed to streamline transactions among member nations, was unveiled on October 17 at the ongoing BRICS Business Forum in Moscow.
Attendees at the event were given demo cards preloaded with 500 rubles to demonstrate the system’s capabilities. These participants reportedly were able to register for a BRICS Pay card using a QR code and use the preloaded funds to purchase items, such as drinks and souvenirs, at designated locations within Moscow’s World Trade Center.
The launch of BRICS Pay marks a significant step in the bloc’s ongoing efforts to reduce its reliance on the U.S. dollar. In 2023, a senior Russian official urged the member countries to work together on creating a new currency that could diminish the dollar’s dominance in global trade. The new payment system is expected to enhance trade and investment among BRICS nations by enabling fast, low-cost transactions.
BRICS Pay is also expected to allow transactions using digital currencies or stablecoins pegged to the member states’ national currencies. The system is also expected to be interoperable with existing payment networks in the BRICS nations.
The platform will be reportedly managed by a Decentralized Autonomous Organization (DAO), comprised of a consortium of technological, financial, legal, and consulting firms responsible for its development. This structure ensures that BRICS Pay complies with each member country’s diverse legal and regulatory requirements.
The new payment system is set to be fully launched during the BRICS 2024 Summit in Kazan, Russia, from October 22 to 24. This summit is the first major event after the bloc’s expansion to include five new member countries—Saudi Arabia, Egypt, the UAE, Iran, and Ethiopia—earlier in the year. Details on how the payment system will be implemented in participating countries are expected to be disclosed at the event.
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