After a dynamic year, the BRICS alliance has decided to halt new membership applications for 2024, but questions remain about its plans for Bitcoin and other cryptocurrencies.
BRICS Closes Membership for 2024, What’s Next for Bitcoin?
Highlights:
– BRICS alliance has closed membership applications for the remainder of 2024.
– The group added several new full members this year.
– Discussions are ongoing about the bloc’s stance on crypto adoption.
During the ongoing BRICS Summit in Kazan, Russia, the alliance announced its decision to stop accepting new members for 2024. Initially formed by Brazil, Russia, India, China, and South Africa, the group has been exploring ways to reduce its dependency on the US Dollar. This has included discussions around Bitcoin (BTC) and stablecoins.
BRICS Membership and Expansion
The BRICS alliance has significantly expanded its membership this year. Countries like the United Arab Emirates (UAE), Iran, Egypt, and Ethiopia joined earlier, adding to the bloc’s core group. Additionally, the alliance has several partner nations, including Nigeria, Turkey, Malaysia, and Thailand. Turkey, for example, revealed plans to join BRICS back in June. With the announcement to halt new memberships, there is now speculation on what the bloc’s priorities will be for the rest of the year.
The BRICS agenda focuses on strengthening economic and trade relations, aiming to move away from the Western financial system dominated by the US Dollar. This goal is particularly relevant for countries like Russia and Iran, which face sanctions from the US and European allies. Some BRICS members have already started conducting trade without relying on the Dollar. For instance, India completed its first oil trade with the UAE using Rupees instead of US Dollars last year.
What About Bitcoin and Crypto?
In its efforts to reduce Dollar reliance, there have been ongoing discussions about the role of Bitcoin and other cryptocurrencies. Earlier reports suggested that Russia could use Bitcoin to circumvent Western sanctions.
While there has been no official statement confirming Bitcoin’s inclusion in BRICS’ broader financial strategy, stablecoins could potentially play a part. Russian President Vladimir Putin recently remarked that talk of a unified national currency for the alliance remains premature.
For now, BRICS is focusing on developing a payment system that leverages blockchain technology to enhance cross-border transactions, aligning with its goal of economic independence from the Dollar.
