BRICS Central Banks Quietly Bet on XRP for Compliance Future

The central banks of the BRICS nations—Brazil, Russia, India, China, and South Africa—have confirmed long-standing collaboration with the XRP Ledger, a blockchain infrastructure developed by Ripple, for the purposes of financial transactions and compliance processes. While these institutions have not publicly disclosed the full scope of their engagement, multiple sources indicate that the XRP network has been an active part of their blockchain strategies for years. This development underscores the growing interest among emerging market economies in decentralized technologies that can support cross-border payments and regulatory compliance.

The XRP Ledger recently activated a credentials amendment that enables native identity verification, a key feature aimed at streamlining compliance for financial institutions. This update aligns with the broader adoption strategies of BRICS nations, which are increasingly exploring blockchain-based solutions to facilitate faster and more transparent financial processes. Ripple’s implementation allows businesses and users to store and verify compliance credentials directly on the XRP Ledger, reducing the need for third-party verification and enhancing institutional trust in the network.

The move is particularly significant for countries like India and Brazil, where regulatory compliance is a major bottleneck in financial innovation. According to Ripple engineers, the credentials amendment allows businesses to define specific compliance requirements such as Know Your Customer (KYC) and Anti-Money Laundering (AML) protocols. These credentials are then digitally signed by trusted issuers and stored in user accounts on the XRP Ledger. This approach not only simplifies the verification process but also addresses privacy concerns by minimizing the exposure of sensitive user data.

Analysts have noted that the BRICS nations’ interest in the XRP network reflects a broader trend of institutional and governmental actors seeking to leverage blockchain for compliance and cross-border settlement. Despite the reluctance of major global banks to fully adopt XRP, central banks in developing economies have shown a more proactive stance. This is partly due to the cost-effectiveness and speed of XRP transactions compared to traditional SWIFT systems. For instance, XRP has been adopted by fintech firms and small-to-mid-sized enterprises in countries like the Philippines and Nigeria, where cross-border payments require minimal fees and near-instant processing times.

The strategic value of XRP in this context is further reinforced by its role in tokenized asset markets. Ripple projects that tokenized assets will constitute 10% of global assets by 2030, and the XRP Ledger’s compliance infrastructure is being positioned to support this transition. By addressing regulatory concerns through on-chain verification and decentralized identity systems, the XRP network is gaining traction as a viable platform for institutional blockchain adoption. This trend is especially relevant in BRICS countries, where the financial infrastructure is evolving to accommodate digital innovation and international trade.

Source:

[1] XRP Ledger Activates Credentials Amendment to Streamline Financial Compliance (https://yellow.com/news/xrp-ledger-activates-credentials-amendment-to-streamline-financial-compliance)

[2] What If Banks Say No to XRP, Here's Why XRP Still Wins Without Wall Street (https://thecryptobasic.com/2025/09/08/what-if-banks-say-no-to-xrp-heres-why-xrp-still-wins-without-wall-street)