‘BRICS Pay’ moving ahead and Chinese move pushing away from the ‘Petrodollar’
Diagram of BRICS PAY – a digital payments platform that is being jointly developed by the member countries of the BRICS 👀
It aims to enable digital payments between the different countries, allowing businesses and consumers to make and receive payments in their local currency. pic.twitter.com/m6kxZCs35F
— Bitcoin News (@BitcoinNewsCom) August 22, 2023
The BRICS (Brazil, Russia, India, China and South Africa) alliance is trying to move forward with what is called BRICS Pay:
Moscow, Oct 23 (Prensa Latina) In a recent interview, Russian economist and politician Servei Glazyev said that a BRICS global trade currency is “inevitable” amid the current economic landscape. … Regarding difficulties in rolling out the BRICS single currency, Glazyev stressed that only political will is needed, because technically this currency is almost ready, the software and mathematical tools have been created. https://www.plenglish.com/news/2023/10/23/brics-trade-currency-is-inevitable-says-russian-economist/
If you don’t already realize that dedollarization is happening, there’s no clearer proof than BRICS Pay. BRICS Pay is a new blockchain-based payment system that enables members of the BRICS countries (Brazil, Russia, India, China, and South Africa) and their partners to make financial transactions in a whole new way.
Prior to BRICS Pay, residents of these countries had limited choices in how they would make purchases, trade, and take loans from outside of their country. The dollar has been the “overwhelming” choice for international trade for decades, serving as the primary medium of exchange. That’s been a problem for countries who have faced sanctions on SWIFT, the international currency platform owned by the Western economic bloc.
Removing the potential barriers created by SWIFT has been a driving factor in the progression of BRICS Pay, with the dollar gradually sliding into the backseat of global trade as a result.
The adoption of BRICS Pay across member states and partnered institutions has been rapid and dramatic. One of the largest banks in Russia, Sberbank, has already integrated BRICS Pay, as has the Bank of China and the State Bank of India. But it’s not just the players you might expect – it’s also Standard Chartered bank in the UK, e-commerce giant Alibaba, and Brazilian retail company Petrobas, along with dozens of others. Mobile apps enabling BRICS Pay are popping up on phones all over the world every second.
With that said, it’s clear that it’s not just BRICS constituents (representing 42% of the world’s population) who are adopting the new payment system, it’s everyone who wants to do business with them, too.
But what is BRICS Pay, exactly? In its simplest form, it represents an incredibly easy and fast way to make a payment, regardless of whether you’re using yuan or rubles. 10/19/232 https://www.birchgold.com/blog/financial/brics-pay
The rise in global geopolitical tensions and the use of economic sanctions may reduce the attractiveness of the US dollar as a currency in international trade and facilitate the rise of new international currencies, …
“We see a substantial increase in the use of the yuan in Russia’s imports from China, accompanied by a declining share of the US dollar,” says EBRD Chief Economist Beata Javorcik, one of the paper’s authors. “We have also observed an increase in the use of the yuan as an invoicing currency by third countries. Thus, while dollar dominance makes sanctions more effective, the sanctions could, in the long run, lead to some erosion of this dominance.”
The sanctions have imposed restrictions on the export of various goods to Russia, as well as on certain imports from Russia. They have limited the financial services that can be provided to Russian entities and suspended the access of some major Russian banks to SWIFT, the dominant system for cross-border payments.
Prior to March 2022, up to 80 per cent of Russia’s imports had been invoiced in US dollars or euros. By the end of 2022, invoices in Chinese yuan (CNY) accounted for 20 percent of Russia’s imports, a sharp increase from 3 per cent a year earlier, while the invoicing share of the US dollar and the euro had declined to 67 percent. …
Rising geopolitical tensions generally and the use of trade sanctions, in particular, may reduce the appeal of the US dollar as a vehicle currency in international trade and facilitate the rise of new international currencies, as well as the greater use of producer or importer currencies to settle trade.
This, in turn, may lead to greater fragmentation of global payment systems. The BRICS economies (Brazil, China, India, Russia and South Africa), for instance, are encouraging greater use of alternative currencies and have said they intend to develop a new cross-border payments system, BRICS Pay. 10/05/23 https://www.ebrd.com/news/2023/ebrd-researches-growing-role-of-new-currencies-in-international-trade.html
I have warned for many years that sanctions by the USA would hurt its dollar–first by the Trump Administration and later by the Biden Administration– and lead to nations looking to bypass it as the international currency for trade. This is definitely in the process of happening.
While many have focused on Russia, consider that China has been taking serious steps as well. Consider the following:
De-Dollarization? China Completes First Digital Yuan Purchase For Cross-Border Oil Transaction
De-dollarization continues accelerating with news of the Shanghai Petroleum and Natural Gas Exchange (SHPGX), a Chinese-backed exchange for trading energy-related products, settling its first cross-border transaction in digital yuan.
Chinese-based financial news outlet “Yicai” first reported PetroChina International bought one million barrels of crude oil using digital yuan on Thursday. It was the exchange’s first overseas oil settlement in digital yuan. …
China’s central bank began the digital yuan project in 2014 and has piloted the electronic currency in numerous regions across China. The world’s second-largest economy has been preparing to use the yuan and its digital version in international trade and finance as an alternative to the dollar.
In August, Brazil’s President Luiz Inacio Lula da Silva called for BRICS nations to create a common currency as the world furiously searches for ways to circumvent the dollar-based financial system.
Brazil’s president said a BRICS currency “increases our payment options and reduces our vulnerabilities.”
The US shutting Russia out of the SWIFT messaging system that underpins most global payments in response to its invasion of Ukraine has supercharged the de-dollarization trend. 10/20/23 https://www.zerohedge.com/commodities/de-dollarization-china-completes-first-digital-yuan-purchase-cross-border-oil
BRICS’ criticism of the dollar: Russia in the aftermath of recent imposition of financial sanctions; China says “the hegemony of the US dollar as the main source of instability and uncertainty in the world economy”, and in 2013 launched a ‘Belt and Road Initiative’ calling for “strengthening” “currency circulation”. Emboldened by increasing US interest rates adding to global borrowing costs, India and Brazil have pushed for greater use of local currencies. What might follow? …
There is also a steady push toward the re-monetizing gold. In July, a “Russia- and China-led consortium had settled on gold as the basis of a planned new international currency system separate from the dollar and euro”. Gold was a world economy hallmark until early in the 20th century. Today the world economy is, though, much larger, meaning it would be nearly impossible for gold bullion to equivalently back paper and digital currency today.
There is, though, another option. BRICS currencies could be benchmarked against gold at a specific price or price band, and not to an equivalent dollar rate. 08/22/23 https://www.enca.com/opinion/brics-local-currency-agenda-has-international-implications
The above reports suggest serious blows against the petrodollar.
Notice something from last August:
August 16, 2023
In another blow to dollar dominance, India and the United Arab Emirates settled an oil trade without converting local currencies to dollars for the first time on Monday, as India’s top refiner made a payment for oil in rupees.
Indian Oil Corp. bought a million barrels of oil from Abu Dhabi National Oil Company in a dollar-free transaction.
The oil sale was the first after the two countries entered a Memorandum of Understanding (MoU) in July. The deal established the Local Currency Settlement (LCS) system, facilitated by the Reserve Bank of India and the Central Bank of the United Arab Emirates. The system allows the two countries to engage in bilateral trade using the rupee and dirham. According to a statement by the Reserve Bank of India, the agreement will facilitate “seamless cross-border transactions and payments, and foster greater economic cooperation.”
The first test of the LCS involved the sale of 25 kg of gold from a UAE gold exporter to a buyer in India at about 128.4 million rupees ($1.54 million).
According to WIONews in India, the LCS system will reduce costs and speed up transactions between the two countries.
Additionally, reliance on national currencies is anticipated to bolster economic resilience and strengthen bilateral relations. Moreover, any surplus balances in the local currencies can be invested in various local assets, including corporate bonds, government securities, and equity markets.”
India has also purchased oil from Russia using non-dollar currencies.
India ranks as the third-largest oil importer in the world.
If the trend of dollarless transactions expands to other countries, the minimization of the dollar in the global oil trade would be bad news for the United States.
As it stands, the majority of global oil sales are priced in dollars. This ensures a constant demand for the greenback since every country needs dollars to buy oil. This helps support the US government’s “borrow and spend” policies, along with its massive deficits. As long as the world needs dollars for oil, it guarantees demand for greenbacks. That means the Federal Reserve can keep printing dollars to monetize the debt.
ZeroHedge explained how the process works.
One of the core staples of the past 40 years, and an anchor propping up the dollar’s reserve status, was a global financial system based on the petrodollar – this was a world in which oil producers would sell their product to the US (and the rest of the world) for dollars, which they would then recycle the proceeds in dollar-denominated assets and while investing in dollar-denominated markets, explicitly prop up the USD as the world reserve currency, and in the process backstop the standing of the US as the world’s undisputed financial superpower.”
Simply put, de-dollarization would drastically diminish US economic power and wreck the country’s economy. https://www.zerohedge.com/geopolitical/another-blow-petrodollar-india-uae-complete-first-oil-sale-rupees
What is the petrodollar?
Essentially, it is the fact that although the US dollar is no longer backed by gold, since most oil is priced in US dollars, that gives the US dollar a backing through a needed commodity, hence always insuring that the US dollar will have value. So it is sometimes called a petrodollar–which is broader than the term’s original intent.
The existence of the ‘petrodollar’ seems to have helped the USA be in a position to increase its debt and that will not end well (cf. Habakkuk 2:2-8; Daniel 11:39).
As far as China goes, it wants more world influence and ultimately domination (watch Is China paving roads to Armageddon?), but the Bible shows that while China will be prosperous for a time, it will be a power from Europe that will essentially dominate the world for the last 3 1/2 years before Jesus returns. (Thiel B. China trying to benefit from US withdraw of Paris accord, while also working to eliminate the ‘petrodollar’. COGwriter, June 2, 2017)
The BRICS nations tend to like and use gold with two-three of them major suppliers of gold and two major purchasers of gold.
Related to gold and the replacement of the USA dollar, we put out the following video:
China introduced something that was called the gold-petro-yuan back in 2018. Since then, the global share of US-dollar-dominated exchange reserves have dropped to 59.0%. In April 2021, China became the first major economy to unleash a Central Bank Digital Currency. China also has given its banks permission to import large amounts of gold. Is China preparing for a gold-backed yuan to push aside the US dollar or to help it survive a US dollar cataclysm? Are other nations preparing to push the US dollar aside? Do Europeans seem to have the most gold? Are Europeans prophesied to gain more gold? Is the US debt trajectory sustainable per Fed Chairman Jerome Powell? Does the Bible warn of the end coming to the highly indebted in Habakkuk 2:6-8? Why does it looked like a gold-backed currency will replace the US dollar? Will the US dollar, ultimately, become essentially worthless? Dr Thiel addresses these issues and more.
Here is a link to our video: Gold Backed Currency to Replace the US Dollar?
Based upon several biblical prophecies, I have long written that the Asians and Europeans will cooperate, for a time, and eliminate the USA and its Anglo-Saxon descended allies.
It should be added that part of the purpose of the Euro was to bypass the USA dollar for international trade. And, that has happened completely within the Eurozone block in the EU.
Steps towards pushing away the Anglo-American dominance of the world for the past couple of centuries is happening.
Related to BRICS, we have the following video:
BRICS and the Woes of Revelation
The BRICS nations consist of Brazil, Russia, China, India, and South Africa. In February of 2023, Russia, China, and South Africa held joint naval drills. In the Fall of 2022, India, Russia, and China held joint military exercises. Brazil also has a military cooperation agreement with Russia. The Book of Revelation uses the term woe three in chapter 8 verse 13–those woes are then discussed in later chapters. Could the BRICS nations, along with the coming Babylonian European Beast power be involved in all three of the woes? Do the BRICS nations want to push aside the USA dollar? Is one of the woes tied to the rise of a 200,000,000 man army? Is there any connection to the second woe and the two witnesses? Do the woes correspond with the last of the seven trumpets in the Book of Revelation? Is one of the woes tied to Armageddon? Does Jesus return with the seventh trumpet? Will nations not be pleased when Jesus returns? Dr. Thiel and Steve Dupuie go over these matters.
Here is a link to our video: BRICS and the Woes of Revelation.
Although BRICS will not dominate the world economically like the coming European Beast power will, the BRICS nations and their decisions will have major impacts on the world.
Steps to push aside the USA dollar really are happening.
As Jesus said: “And what I say to you, I say to all: Watch!” (Mark 13:37).
Some items of possibly related interest may include:
Lost Tribes and Prophecies: What will happen to Australia, the British Isles, Canada, Europe, New Zealand and the United States of America? Where did those people come from? Can you totally rely on DNA? What about other peoples? Do you really know what will happen to Europe and the English-speaking peoples? What about Africa, Asia, South America, and the Islands? This free online book provides scriptural, scientific, historical references, and commentary to address those matters. Here are links to related sermons: Lost tribes, the Bible, and DNA; Lost tribes, prophecies, and identifications; 11 Tribes, 144,000, and Multitudes; Israel, Jeremiah, Tea Tephi, and British Royalty; Gentile European Beast; Royal Succession, Samaria, and Prophecies; Asia, Islands, Latin America, Africa, and Armageddon; When Will the End of the Age Come?; Rise of the Prophesied King of the North; Christian Persecution from the Beast; WWIII and the Coming New World Order; and Woes, WWIV, and the Good News of the Kingdom of God.
The Plain Truth About Gold in Prophecy. How Should a Christian View Gold? What do economists and the Bible teach about gold? Gold and silver may drop in value. Inflation/deflation? What do Christians need to know about gold and silver? Two videos of related interest may be: Germany, Gold, and the US Dollar and Silver, Science, and Scripture.
Europa, the Beast, and the Book of Revelation discusses the largest church since the second/third century, which in a real sense is the eighth church mentioned in the Book of Revelation (it also endorses “eighth day” worship). What church would support the Beast? Here is a link to a video titled: Europe and the ‘Holy Roman Empire’.
The Plain Truth About Gold in Prophecy. How Should a Christian View Gold? What do economists and the Bible teach about gold? Gold and silver may drop in value. Inflation/deflation? What do Christians need to know about gold and silver? Two videos of related interest may be: Germany, Gold, and the US Dollar and Silver, Science, and Scripture.
Biden-Harris: Prophecies and Destruction Can the USA survive two full presidential terms? In what ways are Joe Biden and Kamala Harris apocalyptic? This book has hundreds of prophecies and scriptures to provide details. A Kindle version is also available and you do not need an actual Kindle device to read it. Why? Amazon will allow you to download it to almost any device: Please click HERE to download one of Amazon s Free Reader Apps. After you go to your free Kindle reader app (or if you already have one or a Kindle), you can go to: Biden-Harris: Prophecies and Destruction (Kindle) to get the book in seconds.
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