Move over, Miami. Vancouver is angling to become North America’s bitcoin capital.
What happened: Vancouver City Council passed a motion proposed by Mayor Ken Sim to explore ways to make Vancouver a “bitcoin-friendly” city. It will look into the feasibility of accepting bitcoin to pay taxes and converting a portion of the city’s reserve into crypto.
- Sim is a crypto fanatic, claiming in a recent interview that bitcoin is “the greatest invention ever in human history” — sooo above both electricity and indoor plumbing.
- Vancouver has been a crypto adapter. It was home to the world’s first bitcoin ATM, ex-Binance head Changpeng Zhao, and Canada’s first nightclub that accepts crypto.
Why it matters: Sim argues that bitcoin has continually been a strong performer and that having it as part of the city’s financial portfolio is a smart decision, especially as the dollar depreciates. With bitcoin surpassing US$100,000 last week, he might have a point.
Yes, but: Critics say that holding such a volatile asset as part of a city’s reserves isn’t a great idea. Plus, it’s very possible the broader plan simply won't be legal, considering existing municipal and federal laws don’t recognize crypto assets as legal tender.—QH