High officials call it “Internet gold” in search of deeper discussions about Bitcoin as a reserve asset in Brazil. While President Lula’s government is neutral on cryptocurrency, there are already proposals to create a disputed Bitcoin reserve in Congress.
Brazil has heated discussions about Bitcoin’s strategic reserves
Positive signs are beginning to emerge suggesting a new positive attitude towards the establishment of Brazil’s strategic Bitcoin reserves. President Luiz Inacio Lula Da Silva does not personally introduce the subject, but the proposal is being considered in the high rise of political establishment.
Pedro Geocondo Guerra, chief of staff for Vice President Gerald Alcumin, believes Bitcoin has the advantage that it will become part of Brazil’s foreign preparations, according to local media. The recent inauguration of the competitive Brazilian parliamentary front is a block focused on passing regulations to improve Brazil’s competitiveness, Guerra said.
Tightly discuss, the creation of a sovereign reserve of Bitcoin value is in the public interest and is important for our prosperity. After all, Bitcoin is digital gold, the gold of the internet.
Guerra praised Bitcoin’s characteristics and spoke about its value as a transaction tool and as a value store. “It is a technology that allows for the transfer of wealth with agility from one end of the planet to the other, allowing the efficient and safe storage of the outcomes of labour,” he said.
Brazil was one of the first countries to introduce regulations to convert some of its foreign reserves into Bitcoin. The bill, introduced in November by Federal Deputy Bureau Eros Biondini, calls for the establishment of a strategic Bitcoin Reserve with an allocation of 5% of Brazil’s total foreign reserves.
The Trump administration has established Bitcoin sanctuaries in nearly 200k BTC seized in legal action related to different cryptocurrencies, but Brazil’s proposals are different. This is because it covers direct Bitcoin purchases using international reserves approved by the national lawmakers and is not pushed through executive orders.
Read more: Brazil introduces bills to establish strategic Bitcoin reserves
