The Office of the United States Trade Representative (USTR) announced that it is investigating Brazil’s digital payment system. This investigation occurs at a time when Brazil’s state-run digital payment system, Pix, is rapidly growing, and the BRICS nations are pursuing de-dollarization by exploring alternative currencies.
Ambassador Jamieson Greer, who is leading the investigation, said, “At President Trump’s direction, I am launching a Section 301 investigation into Brazil’s attacks on American social media companies as well as other unfair trading practices that harm American companies, workers, farmers, and technology innovators.”
In response to the reports, Brazil’s Central Bank stated that it built Pix with transparency, financial inclusion, and consumer protection in mind. In a press release, it emphasized, “Pix is an open infrastructure designed to democratize payments and support economic growth. It complies with the highest standards of cybersecurity and privacy.”
The Brazilian Central Bank started Pix in 2020. It is a government-run instant payment system that lets people send and receive money right away, any time of day or night, for free or very little cost. Unlike other payment systems, Pix lets users skip credit card networks completely. Instead, they can send money directly through mobile apps, QR codes, or account keys.
This investigation deepens the growing tension between the nations. In January, President Trump had warned the BRICS nations with 100% tariff threats if they replaced the U.S. dollar as the reserve currency.
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