Brazilian congressman proposes to include BTC in national reserves: plans to invest $17.7 billion to hoard BTC.

Brazilian congressman proposed the "BTC Sovereign Strategic Reserve" (RESBit) bill on the 25th, claiming that it would not only bring innovation opportunities to Brazil but also help diversify economic risks. If passed, the bill will allow for the gradual purchase of BTC, up to 5% of the national reserves. Brazilian congressman Eros Biondini proposed an eye-catching bill on Monday (25th), suggesting the establishment of a fund called the "BTC Sovereign Strategic Reserve" (Reserva Estratégica Soberana de Bitcoins, abbreviated as RESBit) in Brazil to enhance the diversity of Brazil's national fiscal reserves. According to the proposal, the Central Bank of Brazil will be responsible for managing the reserve and the gradual acquisition of BTC. The bill stipulates that Brazil will gradually allocate 5% of the national forex reserves to BTC. Biondini emphasized in the bill's explanation that the establishment of RESBit not only diversifies Brazil's fiscal reserves' risks but also establishes a leading position for Brazil in the global digital economy. He stated that this measure will effectively reduce the economic risks faced by Brazil and open up more opportunities for the country's future development in technology and finance. Biondini said, "This is an important step to ensure Brazil's economic sovereignty and a necessary measure to align with global innovation trends." If the bill is approved, the BTC reserves will become an important tool to protect Brazil's sovereign reserves from coin fluctuation and geopolitical risks. In addition, this measure also provides collateral assets for Brazil's Central Bank's digital currency "Real Digital" (Drex). Note: Brazil's sovereign reserves mainly consist of assets linked to legal coins such as the US dollar, and as of the end of 2023, Brazil had reserves of 355 billion US dollars. According to the proposed bill, Brazil will gradually purchase BTC to supplement the existing forex reserves, with a maximum ratio of 5% of the total reserves, which is equivalent to purchasing approximately 17.75 billion US dollars worth of BTC as strategic reserves. Currently, the bill has been submitted to the Speaker of the Brazilian Chamber of Deputies for review and, if passed, will enter specialized committees for debate. The rapid growth of the Brazilian market According to data from blockchain analysis company Chainalysis, Brazil is already the 10th largest cryptocurrency market globally. In the first nine months of 2024, cryptocurrency imports to Brazil rose by 60.7%, surpassing the total for all of 2023. Stablecoin's rise in Brazil In addition to BTC, the use of stablecoins in the Brazilian market has also risen significantly. According to a report by Chainalysis, financial institutions' interest in cryptocurrencies continues to rise in the Latin American market, especially with the launch of BTC and Ethereum ETFs. Brazil ranks 9th in the global cryptocurrency adoption index, with stablecoin volume accounting for 59.8% of the market share. Especially stablecoins pegged to the US dollar (such as USDT) currently hold nearly 70% of the market share in Brazilian cryptocurrency trading, indicating their importance in the Brazilian cryptocurrency market.