BRICS: VanEck Says Alliance is Set to Increase Bitcoin Adoption

With the leading cryptocurrency nearing a return to its all-time high, it could factor into the BRICS alliance, with one VanEck executive saying the bloc is likely to increase its Bitcoin adoption in the future. Specifically, the firm notes that the asset could be key in the collective’s growing global trade.

The BRICS has just concluded its long-awaited 2024 Summit. There, they highlighted the need to continue its ongoing de-dollarization efforts but also assured it will not be creating new infrastructure to support such an endeavor. That could open the door for cryptos like Bitcoin, to become even more important in the near future.

brics leaders 2024 summit
Source: AFP

Also Read: BRICS: U.S. Dollar Crisis Could Begin in 2025

BRICS Turn to Bitcoin? Why One Executive Thinks It May Just Be a Matter of Time

There were high hopes for Bitcoin entering the year. After being the first crypto to receive ETF approval in the United States in January, the leading asset reached an all-time high price of $73,000 just three months later. Now, the last few days of October are making good on the asset’s ‘Uptober’ history as it looks to return to that mark.

The overall growth in prominence of the asset could have massive global implications. According to one VanEck executive, the BRICS bloc could be set to adopt Bitcoin for use in global trade. It would be a key aspect of its de-dollarization efforts. Moreover, it was something that the bloc had already discussed at its most recent event.

brics russia china xi jinping vladimir putin president
Source: AtlanticCouncil.org

Also Read: BRICS Propose Use of Bitcoin for International Payments at 2024 Summit

“We think once the election result is finalized, Moody’s is going to downgrade US sovereign debt, and that could be a catalyst for Bitcoin,” VanEck, head of Digital Assets Research, told CNBC in a recent interview. “Bitcoin is a chameleon,” he added. “It’s hard to predict what it’s correlated with. Because of the 21 million and fixed amount out there, it’s a non-US asset.”

Thereafter, he discussed how the BRICS bloc factors in. “BRICS had a conference in Russia; there are six new members, so their GDP is greater than the combined GDP of the G7,” Sigel noted. “OF the six new members, three of them—Argentina, UAE, and Ethiopia—are mining Bitcoin with government resources.”

“There’s urgency outside the US to find a way to circumvent the fiscal policy here in the US,” he added. More importantly, he insinuated that Bitcoin is the way that the BRICS bloc is seeking to do that. That fact could set the stage for radical global financial shifts to take place in the coming years. Specifically, in terms of Bitcoin’s usage on the international stage.

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