On December 11, Vancouver councilors supported Mayor Ken Sim's motion to make the city "Bitcoin-friendly" and authorized staff to explore holding cryptocurrency in reserves.
Mayor Ken Sim’s Initiative
Mayor Ken Sim, serving as the mayor of Vancouver since 2022, believes that investing in Bitcoin (BTC) is financially responsible in an era of inflation and market volatility. Sim told [CBC](https://www.cbc.ca/) he agreed to donate $10,000 worth of BTC to the city from his personal holdings.
Bitcoin as a Reserve Asset
The motion stated that the City of Vancouver would be "irresponsible" if it did not evaluate the "merits" of incorporating BTC into its strategic assets for financial stability. BTC is often described as a "digital gold" that can serve as a store of value against inflation.
Legal and Environmental Considerations
The Bank of Canada's Currency Act prevents cities from using BTC for local expenditures or holding it in reserves. Cryptocurrency is considered a commodity, not money, under Canadian law. Concerns also exist over the environmental footprint of BTC mining.
Vancouver's actions may signal potential legislative changes allowing the integration of cryptocurrencies into official financial portfolios, opening up opportunities for reevaluating Bitcoin's status in Canada.
