Brazil’s House of Representatives is set to hold a hearing on August 20 to discuss a proposal for creating a national Bitcoin reserve. The bill, introduced in November 2024, aims to allow the country to invest up to 5% of its treasury funds in Bitcoin, potentially amounting to around $15 billion from the central bank's total reserves of approximately $300 billion. Proponents argue that this move would safeguard international reserves against exchange rate fluctuations and promote blockchain technology across sectors. Six institutions, including the Central Bank of Brazil and the Ministry of Finance, are expected to participate in the hearing. While the idea is viewed positively by some officials, like Pedro Giocondo Guerra, the chief of staff to the Vice President, others, including central bank officials, have expressed concerns about integrating crypto assets into foreign exchange reserves. If the House approves the bill, it will move to the Senate for further consideration before being signed into law or enacted by President Luiz Inácio ‘Lula' da Silva.

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