Russian President Vladimir Putin has made a bold prediction about the future of Western banking dominance and the rise of Bitcoin. Speaking at the VTB Investment Forum in Moscow, Putin stated that the era of Western technologies is coming to an end and that Bitcoin will play a role in reshaping international finance in the BRICS nations.
The BRICS alliance, consisting of Brazil, Russia, India, China, and South Africa, aims to challenge the longstanding dominance of Western banks and the US dollar. Putin highlighted the vulnerability of major US financial institutions and predicted a revolution that would undermine the monopoly of large Western banks.
BRICS is actively working on a new payment infrastructure to challenge the supremacy of the US dollar in cross-border transactions. The alliance, which constitutes 26 percent of the global economy, is positioning itself as a formidable rival to the US and its dollar dominance. Discussions about the new payment system may take place at the next BRICS summit in Russia in 2024.
In addition to challenging the US dollar, BRICS is also in the process of developing a common currency to replace it. The former advisor to the Russian President, Sergey Glazyev, proposed a model based on a basket of exchange commodities for stability and attractiveness.
Bitcoin’s role in this financial revolution is becoming increasingly relevant. The limited supply of 21 million Bitcoins and growing interest from investors seeking refuge from fiat currencies contribute to its allure. Bitcoin has outperformed treasury bonds, stock indexes, and precious metals over the past three years, attracting attention from top-rated fund managers.
Investors are turning to Bitcoin as a hedge against inflation, particularly in countries experiencing high inflation rates. However, the transition to decentralized currencies like Bitcoin comes with its own set of obstacles and opportunities, including regulatory uncertainty, market volatility, and potential usage for illegal activity.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Asia |
| Countries | 🇧🇷 🇮🇳 🇨🇳 🇿🇦 |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Vladimir Putin, Sergey Glazyev, Xi Jinping |
| Companies | VTB Investment Forum, United Nations, BRICS |
| Currencies | Ryo Currency, US Dollar, Polytrade, Bitcoin |
| Securities | None |
