Anti-US Trade Bloc Considers Gold-Backed Currency to Challenge Dollar

Cryptic comments from Russian officials regarding the announcement of a gold-backed currency for the trade bloc known as BRICS has created a stir in the international community. Financial and economic experts weigh in and explain how a shared currency may impact the U.S. dollar.

Gold bullion bars are pictured after being inspected and polished on Aug. 5, 2020. David Gray/AFP via Getty Images

They say all that glitters isn’t gold. But for some countries, gold represents a step toward divesting from reliance on the U.S. dollar.

An emerging trade bloc of nations including Brazil, Russia, India, China, and South Africa—commonly known as BRICS—has created international rumblings over the possible announcement of a gold-backed currency at its annual summit this year.