Brazil may invest 5% of its reserves in Bitcoin

Brazil could become the first G20 country to include Bitcoin in its international reserves. The proposed bill allows for investing up to 5% of the $370 billion in state reserves — the document has already passed its first vote in parliament.

The authors of the initiative want Bitcoin to become part of the state strategy: to supplement the reserve basket, reduce dependence on traditional assets, and officially include cryptocurrency in the financial management system.

Unlike El Salvador, where Bitcoin was adopted by presidential decree, Brazil has gone through a parliamentary process. This path may provide the initiative with a solid legal foundation.