XRP Grows in Prominence as BRICS Nations Look to Ditch the US Dollar
- XRP’s prominence soars as many countries look to ditch the U.S. dollar.
- Many member states of the BRICS now view the token as a viable payment option.
- Ripple says it is in talks with many countries who want to utilize its ledger for their CBDCs.
XRP, the fifth-largest cryptocurrency in the world, has seen renewed interest following the BRICS nations’ decision to ditch the US dollar for alternative payment systems. Crypto analyst A Chain of Blocks made this revelation in a YouTube video while discussing the recent activities of the BRICS nations.
According to the analyst, the BRICS nations, a group of countries formed to challenge the G7 nations, have reportedly taken advantage of the weakened U.S. economy. He continued that the dire economic conditions of the U.S. have driven the group’s popularity, with more countries now asking to join. As at the group’s last summit, over 20 countries, including Saudi Arabia and the U.A.E, have shown interest in becoming members.
As per the video, most member nations view XRP as a viable global payment option, which could power transactions between member states. Graham Bright, head of compliance and operations at Euro Exim Bank, also noted the growing relevance of the token. But he maintains that Ripple is merely a complementary technology rather than one that would expunge SWIFT – the current global payment service.
Ripple’s growing relevance has seen eight nations adopt the XRP’s Ledger for Digital Currencies. In a recent statement, a Ripple executive also mentioned that the company is in talks with 30 other countries who want to use its XRP-powered CBDC platform, the video revealed.
Furthermore, the analyst stated that BRICS nations have put in place plans to develop a bank for its members. The bank, they believe, will reform global monetary and financial systems. A recent statement from Russian President Vladimir Putin further corroborates this claim. At the group’s last summit, the president said the BRICS nations will not use the dollar for transactions between themselves. Instead, he says they have been using local currencies, which has led to an 80% drop in dollar transactions in these countries.
Meanwhile, data from Coinmarketcap shows that XRP is the only token in the top five to have recorded gains in the past week. The ailing crypto market, recovering from its recent downturn, has shed the gains it accumulated over previous months.
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