De-dollarization New Developments: BRICS Launches Multi-Currency Payment System, RMB and RUB Become Key Pillars

BRICS countries are accelerating the reform of the international payment system. According to the latest news, the organization has officially launched a new cross-border payment solution that integrates member countries’ local currencies and digital assets, directly connecting the transaction networks of participating nations. This move is expected to significantly reduce global reliance on the US dollar. The Chinese yuan and the Russian ruble are key currencies in this system and have been incorporated into the core layer of cross-border settlements.

Brazil’s Pix Technology Drives Multi-Currency Instant Settlement

The new payment system leverages the Pix instant transfer platform developed by the Central Bank of Brazil to facilitate cross-border transactions. Through this decentralized blockchain network architecture, trade settlements among BRICS members no longer need to go through US dollar intermediaries. Participating countries can directly exchange using their local currencies. The Chinese yuan, Russian ruble, and other local currencies are all integrated into this system, forming a relatively independent settlement circle that improves transaction efficiency.

Elevation of Local Currencies’ Status and Breakup of Dollar Monopoly

For a long time, the US dollar has held an absolute dominance in international trade. The launch of BRICS’s new payment system marks a shift in this pattern. The system not only supports the use of local currencies among participating countries but also introduces the concept of digital national currencies, offering a more diversified option for the global payment system. This decentralized design directly challenges the centralized model of dollar settlement.

Investor Attitudes Shift, Dollar Appeal Continues to Decline

Market data shows a clear trend: international investors’ confidence in the US dollar is waning. As the BRICS payment system advances and similar initiatives by other countries increase, more market participants are reevaluating the value of dollar assets. This attitude shift further strengthens BRICS’s efforts to reduce dollar dependence, creating a positive feedback loop that accelerates the global de-dollarization process.

De-dollarization is not an overnight process, but the launch of the BRICS new payment system indeed provides a practical alternative for international trade. The roles of local currencies like the Chinese yuan and Russian ruble are further enhanced in this process.