Vancouver Bitcoin reserve effort hits resistance from city government

2 weeks ago

Vancouver, Canada, metropolis unit said Bitcoin cannot beryllium held successful municipal reserves and recommended that the metropolis assembly driblet a connection to make a Bitcoin reserve.

City staff, led by Colin Knight, wide manager of the Finance and Supply Chain Management Department, “conclusively determined” that Bitcoin (BTC) is not an “allowable investment” nether the Vancouver Charter, according to a motions update study dated Monday.

Staff recommended merging the question with different related initiatives to reprioritize resources, with a last determination pending a assembly ballot astatine a gathering slated for Tuesday.

The connection to make a Vancouver Bitcoin reserve was originally introduced successful precocious 2024 by Mayor Ken Sim arsenic portion of a question titled “Preserving the City’s Purchasing Power Through Diversification of Financial Reserves — Becoming a Bitcoin-Friendly City.”

The council passed the motion with six votes successful favour and 2 opposed. Still, the latest developments whitethorn contradict the proposal.

Bitcoin’s ostentation hedge statement fades amid carnivore market

Introducing the connection successful 2024, Mayor Sim said the question was partially aimed astatine helping the metropolis hedge against ostentation utilizing Bitcoin, which has often been described arsenic “digital gold” due to the fact that of its fixed proviso capped astatine 21 cardinal coins.

“As an open, decentralized, and unafraid integer asset, Bitcoin has been recognized by galore fiscal experts and analysts arsenic a imaginable hedge against ostentation and currency debasement,” the question read.

The argument that Bitcoin acts arsenic an ostentation hedge has weakened precocious arsenic the cryptocurrency’s terms declined sharply. Bitcoin has fallen astir 50% from its October 2025 highest of supra $126,000, returning to late-2024 levels and concisely touching lows adjacent $60,000.

Despite skepticism from immoderate analysts who reason Bitcoin does not behave similar integer gold, macroeconomists specified arsenic Lyn Alden stay bullish connected the integer asset comparative to golden successful the adjacent term.

“If I had to stake Bitcoin versus golden implicit the adjacent 2 to 3 years, I would stake Bitcoin,” Alden said connected the New Era Finance podcast connected Wednesday.

Magazine: Would Bitcoin truly beryllium astatine $200K if not for Jane Street? Trade Secrets

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