BRICS Nations Consider Ripple (XRP) for Cross-Border Payments: A Potential Leap Forward

June 16, 2024 · Crypto News, TGbot · Source:NewCoinSpot

The BRICS nations (Brazil, Russia, India, China, and South Africa) have made significant progress in their currency adequacy plans, including the development of an autonomous payment system. According to a research paper first noticed by XRP enthusiast Amelia, Russian President Vladimir Putin has approved the group’s proposal to investigate using Ripple (XRP) for cross-border settlements.

BRICS News Highlights:

  • President Putin’s Confirmation: Russian President Vladimir Putin confirmed that the BRICS nations are developing their independent payment system. A document from the Russian Central Bank suggests that they are likely to use XRP for cross-border payments.
  • Ripple and BRICS Collaboration: The BRICS alliance is exploring the potential of using Ripple’s XRP due to its reputation for transaction speed and cost-efficiency. This could significantly enhance the efficiency and reduce the costs of cross-border transactions among member countries.

Russian Bank’s Initiative:

  • Cross-Border Transfer Project: The Russian Central Bank previously proposed a project for executing cross-border transfers. Ripple’s payment system was rumored to be a consideration for this project. Given Ripple’s strengths, XRP is viewed as a promising foundation for the group’s cross-border settlement system.

Impact on BRICS Financial Network:

  • Efficiency and Cost Reduction: By utilizing XRP, the BRICS nations aim to reform their foreign payment systems, enhancing the efficiency of cross-border transactions and reducing transaction fees. This would create a smoother financial network among the member countries.
  • Potential Price Surge for XRP: The adoption of XRP by the BRICS nations could lead to a significant appreciation of the cryptocurrency. Cryptonairz CEO Robert Doyle (aka Crypto Sensei) predicts that widespread adoption by the BRICS could propel XRP’s price to $10,000, aligning with previous forecasts by CNF.

Current Market Performance:

  • XRP Price: According to CoinMarketCap, XRP is currently priced at $0.4942, reflecting a 0.94% decrease from the previous day and a 4.60% decline over the past week. Despite the current bearish trend, the potential adoption of XRP by the BRICS nations could significantly impact its market performance.

The possibility of the BRICS nations adopting Ripple’s XRP for cross-border payments marks a substantial potential advancement in global financial systems, potentially transforming the efficiency and cost structure of international transactions.