"Brazil, Russia, India, China and South Africa, a coalition of nations going by the moniker BRICS, is set to introduce a new currency backed by gold, Russian English news channel RT reported."
An official announcement in this regard will be made at the bloc's summit in Johannesburg, South Africa, in August.
"Willem MiddelKoop, a former journalist, tweeted that 41 countries have applied for BRICS-membership."
“A new international transaction unit, backed by gold, sounds like good money – and it could be, first and foremost, a major challenge to the US dollar's hegemony,” said economist Thorsten Polleit.
"The economist said for making the new currency as good as gold and a truly sound currency, it must be convertible into gold on demand. But whether this is what the BRICS Countries have in a mind is a question."
"Using gold as the unit of account would be a gamechanger and lead to a sharp devaluation of many fiat currencies including the BRICS fiat currencies, vis-à-vis gold. It could make goods prices priced in fiat currencies explode and cause a shock to the global fiat money system" he added.