/biz/ - Business & Finance

>>55855558
>what brics+ asean and sco are doing is not a public currency or a central bank brics currency, it's a resource backed trade settlement mechanism

Many of us here know that, but what the BRICS nations want versus what they'll get will no doubt go to gold because it simply wields the most power on the global stage. The main banks are already buying a fuck load of gold because they all know it will be the most liquid commodity of them all when this global shift happens. The advantage of this system of mixed commodities is that liquidity will continue if gold ever gets into a rut again.

>>55741382
>ray dalio is a faggot
Who?

>china isn't going to replace the US
Never said they were. What I'm saying is that a large portion of the world wants to settle international trade outside of the USD with BRICS being the contender.

>>55526107
>This would lead to ruin pretty fast in today's world. There's too many people. Imagine having a bank run in a gold backed nation. Absolute disaster.

Bank runs are only a problem when the bank lies about how much wealth it has to lend out. The solution is fucking easy. Banks hold gold while its overheads and profits are paid with something else. It can be wheat, sugar, oil, fucking silver, any other commodity that does not impact the gold holdings directly. But this will never be practiced because greed is part of the human condition and fractional reserve banking is the financial representation of greed.

>>55515544
>The total marketcap of gold is only $ 12trillion. What happens when they run out of reserves?

The trick is that you never run out of reserves if you revalue gold. But if you're not going to allow that, then BRICS has already listed alternatives (see image) to peg the BRICS currency to.

>>54812891
At this very moment, many of us here are just watching this ship slowing turning. It is not going to happen overnight and it's not going to happen in the near future. What we're expecting is the slow chipping away as USD dominance. China is the world's factory and Saudi Arabia is the world's energy supply. They both want to trade outside the USD and are doing test runs right now.

If you can't accept that's our position then just shut the fuck up because we're not interested in your opinions, we're just going to watch things play out.

>>54487202
BRICS is going to be using multiple methods of trading, not just a basket of currencies. It's being diversified like this because the nations currently see the folly of having a single country dominating over everyone else's economy.

>>54112370
>>54112401
>>54112415
Here's the difference between gold and Bitcoin:

Gold = No counter party risk and it's physically real
Bitcoin = A construct that can be wiped out of existence

The value of the two in comparison to fiat is meaningless because it is also a construct. Start measuring gold and bitcoin in terms of things you can exchange such as food or fuel.

>>54063776
>Brics is gold backed, correct?
More than just gold.

>>54027501
>With BRICS only backing thwir currency with gold instead of a combination of gold and silver
BRICS intends to back their currency with a "basket" of commodities, not just gold and silver.

I decided to take a dive into BRICS' Emerging Commodity Coalition pdf and created a list of the confirmed commodities that countries can use on the exchange market.

Full pdf file: https://files.catbox.moe/z2myv4.pdf