- US President Donald Trump has warned against de-dollarization by the BRICS bloc.
- The potential of Bitcoin displacing the Dollar remains a key consideration among proponents.
President Donald Trump has warned against the intergovernmental BRICS blocs over their plans to abandon the US dollar. The BRICS nations include Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, and the United Arab Emirates.
Donald Trump’s Warning to the BRICS
In a recent X post circulating in the media, Trump threatened to sanction the BRICS nations if they moved away from the USD or created a new BRICS currency. Specifically, Trump said countries that choose to replace the US dollar would face 100% tariffs from the US.
He added that the government would require a commitment from the BRICS to neither create a new currency nor back any currency to replace the US dollar. Trump emphasized that those who act otherwise would be cut off from selling into the US economy.
Trump’s aggressive stance has drawn mixed reactions within the online community. One X user pointed out Trump’s strong affinity for trade, stating that tensions will escalate further if the BRICS move away from the dollar.
Another X user said the BRICS countries are moving away from the dollar because the US has weaponized the currency against them. He noted that sanctions and tariffs will not change their minds. According to the user, sanctions and tariffs will have a counter effect, reinforcing the need to move away from the dollar.
The BRICS has consistently pledged to reduce its reliance on the US dollar and Western financial systems. Several countries, especially Iran and Russia, are actively moving away from using the US dollar in their trade dealings. As mentioned in our previous news brief, this trend is largely fueled by economic sanctions and shifting geopolitical alignments.
The BRICS continues to see expansion, with 23 countries formally applying to join the bloc in 2025. In a previous CNF article, we discussed that the BRICS bloc has drawn interest from Asia, Africa, and Latin America.
However, Russian Presidential Aide Yury Ushakov warned that an uncontrolled expansion would compromise the bloc’s foundation. Accordingly, the BRICS proposes a steady, coordinated, and well-planned approach.
Can Bitcoin Be the Solution?
Amid Trump’s aggressive stance, crypto market participants have questioned whether Bitcoin (BTC) could replace the US dollar. They have discussed blockchain and alternative payments to boost trade and establish independent financial systems.
Recently, Russia and Iran joined forces to create an alternative to the SWIFT payment system to bypass the dollar. These efforts pave the way for Bitcoin to make history as a unified trade currency in the BRICS alliance.
Besides, the ongoing speculations surrounding the creation of a Bitcoin reserve have increased the chances of coin adoption among BRICS nations. One of the major advantages of Bitcoin is its decentralized nature. This eliminates the need for intermediaries like central banks or governments, rendering it less susceptible to political manipulation.
Still, the US dollar remains the world’s de facto currency for trade. Therefore, only time will tell if Bitcoin can challenge its dominance in the future.
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Source: https://www.crypto-news-flash.com/trump-targets-brics-over-dollar-shift/?utm_source=rss&utm_medium=rss&utm_campaign=trump-targets-brics-over-dollar-shift