The post Vancouver Rules Out Bitcoin as Municipal Reserve Asset appeared on BitcoinEthereumNews.com.

Bitcoin Vancouver’s experiment with a municipal Bitcoin reserve is effectively over before it began. Key Takeaways: Vancouver city staff have officially ruled Bitcoin legally incompatible with municipal reserve requirements under the Vancouver Charter A staff report dated March 2 recommends closing the motion entirely; council votes March 10 Bitcoin has dropped roughly 50% from its late-2025 peak, now trading near $70,500 City staff have concluded that cryptocurrency does not qualify as an allowable investment under the Vancouver Charter, recommending council formally abandon the proposal at its March 10 meeting. Why It Failed Legally The staff report, dated March 2, 2026, pulls no punches: Bitcoin simply does not meet the asset classification requirements set out under British Columbia’s Municipal Finance Authority Act. Municipal reserves are restricted to conservative instruments — government securities, bank deposits, and highly rated commercial paper. Bitcoin, by any legal measure, fits none of those categories. The B.C. Ministry of Municipal Affairs reinforced the position, stating that provincial legislation exists specifically to shield public funds from “undue risk.” Staff went further, describing continued study of the proposal as a misuse of resources, recommending it be de-prioritized in favor of more pressing city business. The proposal had been introduced in 2024 by Mayor Ken Sim, at a moment when Bitcoin had crossed the $100,000 mark and crypto enthusiasm was running high. Sim argued the asset was a hedge against inflation and pointed to its performance over 16 years as justification for municipal adoption. He even pledged a personal $10,000 Bitcoin donation to the city if the plan passed. Politics, Price, and Pushback That pitch looks considerably weaker today. Bitcoin is currently trading near $70,500 — down roughly 50% from its late-2025 peak above $126,000. The timing underscores a central criticism from financial experts, who cautioned that municipal reserves must…

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Filed under: News - @ March 6, 2026 12:25 pm