Eduardo Paez, mayor of the Brazilian city of Rio de Janeiro, wants to allocate 1% of the city’s treasury to bitcoin (BTC), Cointelegraph Brazil reports.
Baez reportedly announced plans to “Crypto Rio,” or turn the city into a cryptocurrency hub, during Rio Innovation Week Thursday, according to local news agency O Globo.
The mayor spoke about Rio’s crypto ambitions on a panel with Miami Mayor and Bitcoin Thorn Francis Suarez, who began making his BTC salary in November 2021.
“We will launch Crypto Rio and invest 1% of the treasury in cryptocurrency. The government has a role to play,” Paes said, adding that the state is also planning to offer tax incentives to the industry.
The group also included high-ranking Brazilian officials such as the city’s finance minister, Pedro Paulo, who indicated that the administration is considering a 10 percent discount on property taxes in Brazil when making payments with bitcoin. “Let’s explore the legal framework for this,” he said.
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The news comes as the Brazilian government is increasingly strengthening its stance on bitcoin and the cryptocurrency industry, with Federal Representative Luisao Goulart in November proposing a bill to legalize cryptocurrency as a payment method for public and private sector workers. In December, MercadoPago, a major payments company in Brazil, made it possible for Brazilian citizens to buy, sell and store major cryptocurrencies such as BTC and Ether (ETH).