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Rio To Allocate 1% Of Treasury Reserves To Crypto

After several days of steep declines, {finally {what’s promising} for cryptocurrencies.|{what’s promising} for cryptocurrencies finally.}

{In accordance with} {a written report} in Globo , the mayor of Rio de Janeiro, Eduardo Paes, said Thursday he plans to allocate 1% of Brazil’s second-most populous city’s treasury reserves to cryptocurrencies, {{within} his {intend to} turn the city {right into a} cryptocurrency hub.|{within} his {intend to} turn the populous city {right into a} cryptocurrency hub.}

“{We will} launch Crypto Rio and invest 1% of the treasury in cryptocurrency. {{The federal government} {includes a} role to play,|The national government {includes a} role to play,} {” Paes said reportedly,} {adding that {hawaii} is also {likely to} introduce {taxes} exemptions for {the}.|adding that {hawaii} is {likely to} introduce {taxes} exemptions for {the} also.} {

The panel {furthermore} included {main} Brazilian officials like {town} {financial|financing} secretary Pedro Paulo,|

The panel included {main} Brazilian officials like {town} {financial|financing} secretary Pedro Paulo {furthermore},} who noted that the administration is considering a 10% discount on property tax in Brazil on payments with Bitcoin. “Let’s study the legal framework {to get this done},” he said

“You take the single quota discount of 7%, {it could} make 10% {{in the event that you|if you}} pay in bitcoin,” Paulo said

Miami Mayor Francis Suarez also spoke at {the function}, and discussed the challenges in transforming cities into technological hubs. {February in,} Saurez announced plans {to put} {some} of Miami’s treasury in bitcoin.

{In accordance with} CoinTelegraph , {{the news headlines} comes {because the} Brazilian government increasingly warms its stance on Bitcoin and the cryptocurrency industry,|{the news headlines} comes {because the} Brazilian government warms its stance on Bitcoin and the cryptocurrency industry increasingly,} with federal deputy Luizão Goulart proposing a bill to legalize crypto as a payment {way for} public and private sector workers in November. {December in,} MercadoPago, {a significant} crypto payment firm in Brazil, enabled Brazilian residents {to get}, {sell and hold {main} cryptocurrencies like BTC and Ether.|sell and hold {main} cryptocurrencies {such as} Ether and BTC.}

The surprising announcement {employs} {a solid} endorsement from Fidelity published {the other day} , {where the} financial giant said that “history {shows} capital flows to where {it really is} treated best and embracing innovation {results in} more wealth and prosperity.”

Fidelity also thinks that ” {there’s} {high} stakes game theory at play here, whereby if bitcoin adoption increases, {the countries that secure some bitcoin today {will undoubtedly be} better off competitively than their peers.|today {will undoubtedly be} better off competitively than their peers the countries that secure some bitcoin.} Therefore, {even though} other countries {usually do not} {have confidence in} the investment thesis or adoption of bitcoin, { {they’ll be} forced {to obtain} some as {a kind of} insurance.| they {will be} forced {to obtain} some as {a kind of} insurance.} In other words, {a little} cost {could be} paid today as a hedge {in comparison to} a potentially {much bigger} cost years {later on}.”

Fidelity concludes by noting that it wouldn’t be surprised to see other sovereign nation states acquire bitcoin in 2022 {as well as perhaps} even {visit a} central bank make an acquisition.

{Whether it’s} on {the trunk} of the Rio news, or {as the} crypto market is turning and {is currently} expecting {much less} tightening from the Fed in light of the slowing of {the united states} economy, {cryptos have {relocated|shifted|transferred} higher after hitting {new|refreshing|clean} session lows {right before} {the united states} trading open.|cryptos {possess} moved higher after {striking} fresh session lows {prior to the} US trading {open up} just.}

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