City council approves Vancouver mayor’s motion to explore bitcoin

Mayor Ken Sim’s motion to explore making Vancouver a “bitcoin-friendly city” has passed with approval from the majority of city councillors.

The mayor proposed that Vancouver undertake a “comprehensive analysis” of the potential to integrate bitcoin into the city’s financial strategies.

Sim’s motion said integration could mean — but isn’t limited to — accepting taxes and fees in bitcoin, and converting of a portion of the city’s financial reserves into bitcoin.

Council voted to approve the motion Wednesday afternoon.

Sim was so enthusiastic about the idea, that he announced he will donate bitcoin to the City of Vancouver as a gift.

“Because myself and my family believe in this so much, our family is going to donate $10,000 to the City of Vancouver, in the form of bitcoin. And this is going to be a gift to the city, the city that we love. We totally believe in the benefits of this, and we’re putting our money where our mouth is,” said Sim.

The Financial Consumer Agency of Canada describes cryptocurrencies, including bitcoin, as “very risky.”

“Unlike the Canadian dollar, crypto assets are not legal tender in Canada. A government or central bank doesn’t issue or oversee them,” said the agency.

It also notes the rampant vulnerabilities in the technology, the lack of regulations or protections from fraud, and the instability of investing in even the most well-established assets that hold only speculative value.

Researchers from the London School of Economics (LSE) in the U.K. say the cryptocurrency also has a tremendous effect on the environment.

“Each bitcoin transaction generates carbon emissions roughly equivalent to driving a gasoline-powered car between 1,600 and 2,600 kilometres,” said a November article from LSE.

The motion says staff will conduct a report back to council on the feasibility, risks, and potential benefits of a “bitcoin-friendly city” strategy by the end of March, 2025.

—With files from Raynaldo Suarez and Michelle Meiklejohn