Brazilian Parliament Considers Establishing Bitcoin Strategic Reserve, Proposes Allocating 5% of International Reserves

The Brazilian Chamber of Deputies is currently reviewing Bill No. 4501 of 2024, which proposes the establishment of a Bitcoin Sovereign Strategic Reserve (RESBit). The plan aims to allocate up to 5% of the country’s international reserves for the purchase of Bitcoin. The bill seeks to diversify the national treasury’s assets, hedge against exchange rate fluctuations and geopolitical risks, promote the development of blockchain technology, and support Brazil’s digital currency (Drex). The reserve will be jointly managed by the Central Bank of Brazil and the Ministry of Finance, utilizing security technologies such as cold wallets and implementing strict transparency mechanisms. Rapporteur Deputy Luiz Gastão has voted in favor of the bill, emphasizing a cautious and gradual implementation strategy to balance potential benefits and risks.