Vancouver City Council Approves Bitcoin Reserve and Payment Proposal
Vancouver’s city council has approved a plan to explore integrating Bitcoin into its financial strategy. Led by Mayor Ken Sim, the proposal includes creating a Bitcoin reserve and allowing BTC payments for taxes and city fees. This initiative aims to diversify financial reserves and mitigate fiat currency volatility. A feasibility study on adopting Bitcoin is set for completion by early 2025.
Mayor Sim emphasized the importance of this initiative for financial stability, stating it is “irresponsible” not to consider Bitcoin’s potential. This represents a significant shift from the city's previous anti-Bitcoin stance, which included a failed 2019 attempt to ban Bitcoin ATMs under former Mayor Kennedy Stewart. Vancouver, known as the host of the world’s first Bitcoin ATM, is now positioning itself as a Bitcoin-friendly city.
The motion seeks to diversify the city’s portfolio and protect purchasing power amid concerns about fiat currency inflation. Proponents argue that Bitcoin could enhance the financial resilience of the city’s assets while providing long-term benefits for taxpayers. Mayor Sim views Bitcoin as a transformative innovation, calling it “the greatest invention in human history.”
The feasibility study will assess the risks, challenges, and benefits of adopting Bitcoin. The council's decision reflects increasing global interest in cryptocurrencies, partly driven by the reelection of pro-crypto leaders, which raises hopes for clearer regulations and broader adoption.
If successful, this initiative could position Vancouver as a leader in municipal crypto adoption. The city joins other municipalities exploring digital assets to modernize public finance. The feasibility report is expected in Q1 2025 and will outline next steps, considering challenges and taxpayer impacts.
Supporters view this as a move toward future-proofing municipal finances, while critics advise caution until study results are available. Vancouver is currently at the forefront of integrating Bitcoin into public financial systems, potentially setting a precedent for other cities.
This initiative has garnered worldwide attention, with cryptocurrency advocates praising the city’s forward-thinking approach. As the discovery phase progresses, Vancouver's efforts may influence how cities manage finances in the digital asset era.