Brazil’s BRICS Presidency Champions Blockchain for Enhanced Trade Efficiency

Brazil is prioritizing blockchain technology during its BRICS presidency, aiming to enhance cross-border trade efficiency rather than pursuing a common currency. The central bank’s Drex project and discussions on stablecoins are pivotal in this strategy, which seeks to improve international transactions among BRICS nations.

Brazil is positioning blockchain technology at the forefront of its BRICS presidency, seeking to improve trade transactions among member nations, including Russia, India, and China. This strategic shift, noted by Brazilian newspaper Valor Econômico, signifies a departure from previous discussions about establishing a common currency to counter the dollar, instead favoring efficiency in international trade operations.

The Brazilian government is contemplating integrating blockchain within its financial system to facilitate international transactions, with the central bank actively testing Drex, a tokenized infrastructure project. However, this initiative faces challenges in achieving an optimal balance between user privacy and regulatory compliance as per the report.

An additional avenue under consideration involves creating a payment network similar to Brazil’s acclaimed Pix system, though this concept raises concerns regarding governance and sovereignty among BRICS nations. Furthermore, discourse surrounding stablecoins has been revived, with Russian deputy minister Sergey Ryabkov indicating their potential utility in international settlements among BRICS members, contingent on the establishment of a secure communication channel between their central banks. While there has been no formal consensus on stablecoin usage within BRICS, reports from earlier in 2025 indicate that Russian oil companies have initiated cryptocurrency transactions to convert local currencies, such as the Chinese yuan and Indian rupee, into Russian roubles for trade.

Overall, Brazil’s emphasis on blockchain technology may redefine trade dynamics within BRICS, steering discussions towards enhanced transaction efficacy rather than currency competition.

In summary, Brazil’s BRICS presidency is set to emphasize blockchain technology to enhance cross-border trade among member nations, departing from previous conversations about a shared currency. The government is exploring various mechanisms, including the Drex project and potentially stablecoins, to establish a more efficient financial system. This strategic direction reflects Brazil’s intent to facilitate smoother international transactions and highlights ongoing discussions among BRICS members regarding financial innovation.

Original Source: crypto.news