US Treasury Warns on Cross-Border Payment Systems

Brent Neiman, Assistant Secretary for International Finance at the U.S. Treasury, expressed concerns regarding cross-border payment systems that do not adhere to U.S. regulatory standards, warning they could destabilize global markets and economic security. His remarks came shortly after the BRICS coalition proposed an independent payments system aimed at bypassing Western platforms like SWIFT, highlighting a push for financial independence among member nations. Neiman emphasized the need for the U.S. to lead in establishing international payment standards, particularly in combating financial crimes. Additionally, he called for a clear federal framework for stablecoins to prevent regulatory inconsistencies. Meanwhile, XRP, associated with Ripple Labs, is gaining traction as a bridge currency for cross-border transactions, facilitating faster and cheaper payments through its On-Demand Liquidity (ODL) system. The growing acceptance of XRP underscores a significant shift in how digital assets are viewed in the traditional financial sector.