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📌 Bitcoin News: Vancouver considers Bitcoin as a reserve asset

Vancouver Mayor Ken Sim is proposing to include Bitcoin in the citys balance sheet to diversify investments. Bitcoin

– Vancouver Mayor Ken Sim is proposing to include Bitcoin in the city’s balance sheet to diversify investments.

The proposal aims to make Vancouver a pioneer in using Bitcoin as a reserve asset.

Bitcoin’s decentralized nature makes it an attractive option for hedging against inflation and market volatility.

The proposal, Maintaining the City’s Purchasing Power by Diversifying Financial Resources: How to Become a Bitcoin-Friendly City, will be formally announced on 11/12/11. The move could make Vancouver a pioneer in the use of bitcoin as a strategic reserve asset by municipalities. The city’s decision comes as companies and governments are beginning to use bitcoin as a kind of hedge against inflation and geopolitical risks.

MicroStrategy and Brazil are global organizations that are already looking at bitcoin as a reserve asset, and Vancouver has done so. If the law passes, other cities and countries could follow suit.

Mayor Ken Sim’s plan aims to strengthen the city’s financial strength by diversifying investments. The proposal also seeks to equate bitcoin with other assets in the city’s financial strategy.

What makes bitcoin an attractive option is its decentralization, which, as a decentralized currency, can increase purchasing power in times of inflation. Vancouver should take this strategic step to protect its finances from currency devaluation and market volatility.

amid growing global concerns about inflation, bitcoin’s role as a savings vehicle continues to be recognized. Vancouver is poised to become the first major city to actively embrace bitcoin to secure its future financial position.

The ambitious proposal may not have the full support of Vancouver City Council. But it presents city officials with a choice between Bitcoin’s advantages and its immense volatility. The proposal is in line with the growing interest in bitcoin as an alternative reserve asset.

MicroStrategy, led by Michael Saylor, has become the most active corporate user of bitcoin. In 2024/10, the company added 55,000 bitcoins to its reserves, bringing the total to 386,000 BTC. Brazil recently decided to create a sovereign bitcoin reserve at the government level.

Congressman Eros Biondini introduced a bill to create a bitcoin reserve to help Brazil weather economic turmoil. Since Brazil’s Central Bank manages bitcoin reserves, it could become the collateral for Brazil’s real digital currency.

These developments together show that bitcoin is becoming a financial asset with great potential for long-term value.

If institutions and governments recognize the suitability of Bitcoin as a reserve asset, not only Vancouver, but also other cities and countries will receive the Vancouver version of BTC as a reserve asset.

Vancouver’s proposal is an important milestone. But the question is whether it will reach the required height. In mid-May, the proposal will be debated in city council.

an elected official in Vancouver has assessed the long-term financial implications of bitcoin eventually ending up on the city’s books, but Boston is considering incorporating the technology into its system.

Mayor Sims’ penchant for innovation is evident, as he has authorized cryptocurrency donations to his campaign. However, the city must first address bitcoin volatility and regulation. Vancouver could become a financial leader if it adopts bitcoin, which also comes with risk.

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