Vancouver City Council Approves Study on Bitcoin Integration

The city will assess the feasibility of accepting Bitcoin for taxes and holding it in reserves, despite legal and environmental concerns.

The Vancouver City Council has approved a motion to explore integrating Bitcoin into municipal financial strategies, including accepting it for taxes and fees and holding it as part of the city's financial reserves.
Mayor Ken Sim, a proponent of the initiative, argues that Bitcoin could hedge against inflation and currency volatility, calling it a responsible step for diversification.
The study will examine the risks, feasibility, and potential benefits, with findings expected by the end of Q1 2025, but provincial laws currently prohibit municipalities from holding cryptocurrency reserves.
The motion has sparked debate over environmental concerns, regulatory hurdles, and Bitcoin's volatility, with opposition from Green Party councilors citing risks of money laundering and high energy demands.
This move reflects a broader trend of institutional interest in Bitcoin, as the cryptocurrency trades at over $100,000, though experts caution about its suitability for public funds.