Brazil nixes BRICS currency, eyes less reliance on 'mighty' dollar

fuck lula, bending over backwards for an actual nazi

I don't think a BRICS currency will be successful in replacing the dollar unless the governments of the participating countries force their businesses to use it. The reason why transactions are denominated and settled in US dollars is because of the perceived stability of its value and the openness of the US financial system to international trade. People use the US dollar because they trust the American government to not excessively devalue it and for it to be reliably useful later on.
And yes, I recognise that all of these are under attack by the current US government.
- I mean US sanctions will force companies to use it, if it ever becomes real. Think like Huawei wanting to sell stuff to Russia, but US threatens to kick any bank out of swift that trades with Russia. So then they would have this Brics-$ to circumvent that. That's the whole point. US is sanctioning so many countries that there is a need for alternative, not that USD/swift is bad system for those using it. USD needs replacing because it has become a Washington's geopolitical sledgehammer and a chokepoint to free flowing world trade. Even Putin said that only reason they have been reduing dollar usage, because they have been barred from using it, not because they are particularly eager to do it by itself.
  Companies would want it because it would a one way to secure their profits and nation's would want it because it frees them from the unilateral sanction sledgehammer.
- The reason why transactions are denominated and settled in US dollars is because of the perceived stability of its value and the openness of the US financial system to international trade.
  No, it's because the oil trade is conducted in dollars (the point of America's adventures in the middle east are ultimately to enforce this). This creates a demand for dollars, despite the US having the largest trade deficits in human history (which for any other country, would have made their currency worth less than the paper it was printed on).
  
  Changes are afoot.
  S&P Global: Saudi-China ties and renminbi-based oil trade
  Reuters: Vast China-Russia resources trade shifts to yuan from dollars in Ukraine fallout
  Imports of Russian oil, piped gas, coal, metals mostly settled in yuan
  Atlantic Council: The axis of evasion: Behind China’s oil trade with Iran and Russia

I mean, Rosa Luxemburg continues to be right. Socdems are entirely too comfortable with fascism, Lula been on this bullshit for a bit even being sneakily antagonistic to Venezuela.

Want to dethrone the US Dollar? Reverse the trade imbalance.

"No one wants to create trouble, but BRICS countries also don't want to abandon the idea of exploring this possibility," said another source, adding that no member countries intend to eliminate their dollar reserves.
Big oof. It's one thing to tip toe around causing WW3 with the US (I don't want that shit either), it's another to act blissfully ignorant of just how unstable the US is.

Tbh, I'm not a big fan of attempts to create a BRICS currency either. The economic conditions across the BRICS countries are too different for a common currency to be adopted for domestic transactions. And if this common currency was only limited to international transactions, you would still recreate the problems of the gold standard (a hard limit on the availability of money for transactions).
I think the correct approach is to facilitate both easier transactions in local currencies and cross-border bartering of commodities. The former allows countries to take on a level of "debt" through net imports according to their needs, the latter allows material production to dominate financial constraints.
- The economic conditions across the BRICS countries are too different for a common currency to be adopted for domestic transactions.
  They are explicitly not trying to create a domestic currency. They are trying to create a Bancor-like financial instrument that is exclusively for international payments.
  How could a BRICS+ bank and settlement currency work? Economist Michael Hudson explains
- "Brics currency" would go around the problems of gold, becausse they have been planning for it to be tied to a "basket of goods" like oil, wheat, gold, etc. It has always been about solving the balance of payments issue among the member states, without using the dollar or gold. You are right that an Euro-like currency would be bad for Brics countries economies because of their development levels' but so is Euro stifling for most the EU countries, but I digress.
- yet we hold the dollar as a common currency...

Yeah, I expected that. It was either it falls apart or it becomes vapourware.
Edit: Hmm, looks like it got removed. It was a thread about the BRICs currency thing from four months ago.

It's really difficult to even start to build even an Keynes' Bancor like global reserve currency, much less some "Brics Euro" to be used within the countries (which was never in the cards to begin with btw). However this American sanction obsession is very much creating the need to replace the dollar worldwide. Under Biden one set of countries were sanctioned, and now Trump is sanctioning pretty much everybody else that Biden didn't sanction. US itself is the main driver of de-dollarization, not Brics. Who the hell even wants to live with a US gun on their temple anyway, even if you are so called "US ally". Now Canada and Europe are getting slapped punitive tariffs on, because the administration changed, countries therefore can't have just one main way to do global trade.
- Everybody knows now that if you don’t kowtow to the US, it may confiscate your US Treasury securities and/or cut you out of SWIFT. You’re putting your financial trust in a rogue state.

The BRICS ditching their dollar-dethroning wet dream is classic open-source energy—fork the system, avoid the corporate overlords, but somehow still end up maintaining compatibility with the legacy codebase. Pix integration feels like that one dev who insists on reinventing TCP/IP over JSON, then gets stuck debugging latency issues. Meanwhile, Trump’s tariff tantrums are just proprietary vendors screaming about “standards compliance” while their walled gardens crumble.
Blockchain as a payment layer? Sure, let’s add more middleware to the spaghetti stack. Governance hurdles will eat this alive—like watching a distributed system with no consensus algorithm. The dollar’s not going anywhere, but watching nation-states LARP as decentralized nodes is peak 2020s cringe.
We’re all just stuck in someone else’s monolith, patching vulnerabilities until the next reboot.
- Alright, ShinkanTrain, let me break it down for you since nuance seems to be a lost art these days.
  The BRICS ditching the dollar is like trying to host a barbecue during a hurricane—great idea, wrong conditions. Blockchain as a payment system? That’s like replacing your car engine with a jet turbine: sounds cool, but good luck steering it without crashing.
  At the end of the day, it’s all theater. The dollar isn’t losing sleep over this, and we’re all just passengers on a ride someone else is driving.
- It’s understandable why someone once called it “AI-generated NPC dialogue.” You write stream-of-consciousness fanfic on any & every topic. Just vibing and jazzing.
  
  "AI-generated NPC dialogue"? That’s rich coming from someone who just regurgitated the most generic insult template of the decade. If you’re going to critique, at least bring something original to the table. Stream-of-consciousness? Sure, but it’s better than parroting low-effort quips that sound like they were scraped off a Reddit comment section.
  Vibing and jazzing? No, it’s called dissecting the absurdity of a system that’s held together by duct tape and denial. Maybe try engaging with the actual points instead of playing word police. Or is thinking critically too much of a vibe killer for you?

they should just use euro, but it's a moot point since Russia is currently all fucked up.
- thats not the point of dedollarizing