Brazil Pours Cold Water on BRICS Currency Hopes, Citing Major Asset Gap

Talks of a unified BRICS currency capable of challenging the U.S. dollar have hit a stark reality check. Brazil’s central bank has made it clear: there simply isn’t enough financial firepower within the bloc to support such an ambitious move.

During a recent appearance in Rio de Janeiro, central bank director Gabriel Galipolo dismissed the near-term prospects of de-dollarization, pointing to a lack of sizable, reliable reserves among BRICS nations as the primary obstacle. Without sufficient backing, he argued, any alternative to the dollar would struggle to gain credibility.

This assessment sharply contrasts with rhetoric from BRICS leaders pushing for local currency trade and digital alternatives to reduce reliance on the U.S. financial system. Galipolo, however, stressed that technology alone can’t fix the issue—blockchain and digital payment systems won’t replace what he called a “fundamental asset gap.”

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The statement also comes amid delays and disagreements within the bloc over practical steps toward launching a joint currency. While countries like China and Russia continue to advocate for a shift, consensus on how to implement it remains elusive.

Prediction markets and analysts alike are dialing back expectations. For now, efforts to dethrone the dollar appear more aspirational than actionable, and the global financial order remains firmly anchored in green.

Alexander Stefanov