Vancouver considers adopting Bitcoin as a reserve asset, joining a global trend. Mayor Sim’s proposal aims to diversify finances and enhance resilience.
Vancouver, a city in Canada, is considering Bitcoin as part of its financial reserves. On November 26th, Mayor Ken Sim introduced a notice of motion at a city council meeting. He wants to introduce a proposed Bitcoin bill on the 11th of December. This decision is made at a time when more and more companies and countries consider Bitcoin as a reserve currency. Vancouver’s push is evidence of a global shift to spread out risks in investment and strengthen the financial base.
Ken Sim has been the mayor of Vancouver since 2022 and has delivered 70% of his pre-election promises. However, his latest suggestion to add Bitcoin in the city’s financial plan is likely to trigger some pushback. This is to safeguard the buying capacity of Vancouver and to future-proof the city in light of new developments in the financial sector. If successful it will join the league of a handful few cities of the world, let alone the first in the developed world, to adopt Bitcoin as part of the official reserve asset base.
As mentioned by Jeff Booth, a Bitcoin enthusiast, the proposal was designed to make Vancouver a more Bitcoin friendly city. The motion wants to make Bitcoin a reserve currency, and this is in line with developments that started when Trump mentioned Bitcoin during his campaign. Since then, the attention has been shifted among public as well as private sector managers. Michael Saylor is the founder of MicroStrategy and has been using Bitcoin as a treasury management asset. While his advocacy has created more discourses among the corporates and governments.
Bitcoin Reserve Adoption Expands in Vancouver and Beyond
The debate about using Bitcoin as a reserve currency has emerged in the U.S. Since Trump won the early November election, legislators in Pennsylvania and members of the U.S. Senate have started looking into similar ideas. This trend indicates that Bitcoin is perceived as an instrument of hedging against economic risk. Brazil has also joined this bandwagon. The RESBit bill is proposed by Congressman Eros Biondini who wants to invest 5% of $372 billion Brazil reserves in Bitcoin, incrementally.
Vancouver’s proposal is one of the boldest steps toward financial diversification. If implemented it has the potentiality to extend the culture to other cities and regions of the world. Its aim is to increase the financial resilience and become ready for digital transformation. Thus, by adding Bitcoin, Vancouver would become one of the few cities available to new financial approaches. It could encourage other people to think about the advantages that come with digital assets.
It is clear that more and more digital assets are becoming a part of mainstream finance as Vancouver has recently done. The plan proposed by Mayor Sim is also an example of innovations and strong financial strategy of the city. Bitcoin is a perfect example of this reality as it continues to expand its footprint in international markets. This could bring ‘Bitcoin into the city’s reserves’ could place Vancouver on a pedestal of the modern day financial management strategies. It may help other cities consider decentralized systems for the stability of their economy.
