Topic: Brazilian mayor to reportedly invest 1% of city funds in Bitcoin (Read 566 times)

I agree with you here. We don't know how much funds they have. So that 1% is big if they have big funds in their coffers. And also, if they will continuously do this type of investment, in time, it will also be big. It may be nothing for the moment, but as years go by and if the btc value will further increase, then its value will be a significant one in the future. With this initiative, even if they are starting small, it means, they are seeing the potential of btc investments in the future.

You didn't think that 1% was significant? Well, I think it is. What we should be looking at is the amount involved in the whole thing. Let's assume that the city fund is $10billion, wouldn't that 1% be $100 million? Wouldn't that be an appreciable amount of investment? But of course, it will be. You know like they say, drops of water make an ocean or the other one – Block by block a house is built. I think that gesture should be applauded in expectations that more will be done or that more cities will join in. So, for me it's a plus.

I have always thought about it, why isn't these countries investing some percentage of their treasure in Bitcoin for a number of years, because we have seen individuals and institutions that have made good profits from this investment and with Rio's mayor taking this route for the city I believe is nice most especially with the tax exception. I believe this will even encourage more investment. 

It's great to see that mayors around the world are interested in cryptocurrencies and bitcoin in particular, and are aiming to encourage investment in their cities. I believe Miami mayor Francis Suarez played a major role in this trend, so he deserves credit for his efforts to attract investment and talent to his city.

After 3 pages of discussion you can't find enough information? Maybe try to read something other than the first post and title.
 

Mayor of Rio de Janeiro, there is no mayor of Brazil - people do not be naive, this is about one city, not the state as some understand it. The significance of such moves globally is almost zero and has no effect on the price unless someone thinks -10% is a good thing.

There is no small amount of investment If you carefully position yourself in a safer side especially that you're using a small percentage of the city treasury. Well, for exact same reason why the mayor decided to put only 1% so people won't worry that much and start a protest like what you have said.


Of course, Brazil is a democratic country so there are going to have a governing bodies that votes to allow the mayor's decision to invest 1% of the city treasury to Bitcoin.
I guess the mayor is really planning his moves to such project so his people won't overreact.

Yes, having at least a few city to be a crypto spot is better than nothing at all. Pretty sure other mayors that also have interest on crypto have seen the news and are also thinking of following it. They have not waited for this dip to occur but who would be able to predict that a heavy dip will come? No one but they might put more money now that prices are still down.

I like this news, I like the fact that the mayor publicly reported if what are the money collected money is going to not unlike to the mayors in most cities that they keep this kind of things a secret because they are corrupt. Even if we say they invest it some in crypto, it is still not right to keep it themselves.

Indeed, 1% seems really a little too small for an investment. This won't really be felt as this is just a very little portion of the city's fund unless the fund we are talking about is a hundred million, then it would be sufficient to be an investment that could aggressively earn a profit over time. However, if that would be the case, they would stake a lot of the people's funds in which could stir a heated argument and protests because there are people who are not really in favor of bitcoin and other crypto-related things.

Also, I believe this is done with the consent of all other officials because this won't push through if ever it is only done according to the mayor's lone decision. I just hope it won't spark protest and chaos just like what happened in El Salvador. Hopefully, more places and government officials would be more open with the idea of bitcoin and crypto because this would be an achievement to our community no matter how small.

Yes, of course this is good news, this can be done by Eduardo Paes (mayor of Rio de Janeiro) when the Brazilian government softens its stance on crypto and blockchain technology.
the discourse of Eduardo Paes (mayor of Rio de Janeiro), investing part of the city's reserves in Bitcoin of 1% is clearly a very bold act and needs to be appreciated.

the city government is also exploring how to apply a discount on property tax payments made in Bitcoin. Currently, residents in Rio already enjoy a 7% discount on the property tax, but with the proposed amendments, this discount could be as high as 10% if paid in bitcoin.
Of course it is clear that the public will be facilitated because of this and will make bitcoin more well known.

It is likely that crypto adoption will be a big step for Bitcoin's development given that Rio's economy is one of the largest in South America and among the fastest growing internationally.
If Mayor Eduardo Paes succeeds in his bitcoin experiment, Rio will become the first city in Brazil to buy the world's most popular cryptocurrency.
hopefully this will trigger many more actions from the government against bitcoin which will have a positive impact on bitcoin itself.

Good start for a crypto supporting country like Brazil and this is also a best example for the other city if not the whole country to invest part of their city funds into crypto.

but for me they should have waited for todays time before investing as the price is really low and worth to invest for semi long term.

How much is that 1 percent? is there any plans to extend that investment for at least 5%?

Perhaps the mayor is thinking that if ever the bitcoin investments materialized and profited in the future, it is the city that will win in the end and not him personality. And yes, the money in turn can be used to prosper the city more by building instrastructure for improvements.

So still a good decision in my opinion, and a win-win, maybe he can go down in history of city mayors in Brazil that pave the way for bitcoin to be accepted in their country in the future.

Well it is Brazil, Brazil is one of the largest countries in the world, the largest in terms of territory in South America and one of the most industrialized, in this aspect Brazil is a very prosperous country with an incredible workforce, only 1% I am sure that it will give a great amount and if it is the money that a mayor's office can have, we are talking about a great patrimony, this is part of a master plan where eventually that investment can take a great leap and have a very high profitability, for me it is What you are doing is very intelligent, and hopefully many countries will follow this example.

It is good to know if the mayor did invest his own asset but base on the title of the thread this mayor invest a 1% city funds which means it is not his own, it is a money of the people. Though I am not saying that investing it in bitcoin is bad but the fact that this fund must allocated in proper projects or allocations especially for the good of the people where this mayor are serving. Though I may not know the reason behind of the mayor why he/she did this but I do hope that any profit or gain this 1% fund earn I hope this may return to the people, return to the projects that people may benefits.

what the mayor did by investing 1% of his assets in bitcoin is a rare thing where there are so many people who strongly reject bitcoin, but what the mayor has done deserves our appreciation.hopefully this is not only a discourse because at this time as we know that bitcoin really needs recognition or positive things about bitcoin so as to make bitcoin's survival better as in the topic above is a very good thing if the mayor really wants invest in cryptocurrencies

Maybe you took all my words wrong. I am not against the Brazilians; I do respect them, but I wonder why a government that can not even control it accepts Cryptocurrencies ?. We all know that it can be used to hide the money, and people won't pay the taxes to the government once they utilize it. So what do you think about how they'll run their economy when they stop receiving the taxes and people used to hide money ?.

It's always easy to spend other peoples money, especially if it's on a modern idea which is the buzzword of the moment. Brazil has a lot of problems right now and I'm not sure what they really have to offer in terms of a cryptocurrency hub. Maybe the Mayor should spend that 1% on more police, or training the police better, because most of the stories I hear about Rio are related to criminal activity these days. It's probably a lovely city but poverty can make people do dangerous things. Maybe looking at some sort of tech hub, not focused on on particular sector of the internet, would be more beneficial for the wider population. City mayors tend to have limited impact on the direction a country takes however and this could all be reversed by the next mayor so it's hard to see long term consistency.

It sounds nice and all but it is only 1% of a city, and they just said crypto without specifying Bitcoin, so it is possible that rather than storing the city's value in hard money they're just talking about investing in tech products (cryptos) which is less interesting in terms of advancing the future of money.

I'd wait to hear more about it. If it does turn out to be 1% into Bitcoin and is used to increase the prosperity long term of the city then that's great, as that would help that city and would be just one more tiny piece of adoption as Bitcoin marches onwards towards being the future money for humanity.

Then, I hope not but instead to have a clear statement in regards to funding 1% investment for Bitcoin. If the intent is to use for his political will, that surely it brought him in question and ruin his image. But I guess, he doesn't have the intent like that, maybe he is just able to see what this small investment could help for their economy. Although 1% is very small, at least it was a stepping stone to a bigger adoption.

Its good news to see many new investors in bitcoin and cryptocurrencies may governments and the related organizations or many normal people but in this case, about the Brazilian mayor of Rio de Janeiro, I cannot say if his investing is really related to their governments because as a person he does have the right to invest and his own idea, regardless of that I believe after what El Salvador is doing and investing on bitcoin, time after time more governments will be attracted to invest there, however, there are maybe other mayors and other government-related people who did invest in bitcoin and we don't know them because they don't want to reveal their names on the news for their own privacy.

As long as they made it public, they want to promote it to their people and they wanted them to think even the government doesn't doubt about the legitimacy of cryptocurrencies rather they invested the city funds to it. It might be sound ridiculous but that's just the way I see it because they might just hide it or keep it to themselves but they decide to let the people know about it. The way they are transparent to their people makes me think our city is in no way close to them.

reading some estimate from other posters..

i think the more logical one of them all was
rio having 40bill reals $7,226,872,000.00 meaning investing $72mill in bitcoin projects

I would think it is good having the second largest population in both Americas to publicly say they will be investing into bitcoin.
Even if it is only 1% that is a start and won't be going down but can only go up for the future.
You can think of it that way.

Rio de Janeiro is one of the most famous and biggest city in the world so even if he doesn't say which crypto he will choose for the moment, who cares? It's a huge news for global adoption and the crypto community should just be happy with that and congratulates him.

He just wants to hide his black money according to you? Why he would make a public statement if he wanted to hide some funds? Moreover with all due respect to Brazilians I don't think people in Brazil really need Bitcoin to hide or launder their black money there.

As much as this sounds good for the crypto community, am hoping that the mayor is not acting ultravires which could land the mayor in problems and in the process give bitcoin a bad name. But if his acting within his powers then this is good news and hope this investment pays well with time.

I found on the legislative house of Rio de Janeiro's state that the total receipt expected for 2022 is around 15$ billion dollars. It means they can potentially invest 150$ million dollars in cryptocurrency.

It would be good news if we were talking about an honest country, honest authorities and if they were going to adopt bitcoin specifically and not cryptocurrency in general.

It seems the values contained on this document are restricted to Public Health Actions sector. The total budget is much more expensive.

For 2022 the budget is estimated around 85,7$ billion of reais, which is proportional to 15$ billion dollars.

However, I don't have an article in english with the informations to post here.

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EDIT: My bad, I was wrong on my statement above.

15$ billion dollars is the total budget expected for the state of Rio de Janeiro in 2022.

The budget of the city of the Rio de Janeiro (which is the one being talked about on this thread, since it's the mayor who is making the proposal) expected for 2022 is 7$ billion dollars or 40$ billion reais. So the crypto investment would be around 70$ million dollars proportional to 1% of that budget.

https://prefeitura.rio/cidade/com-contas-em-ordem-prefeitura-do-rio-envia-para-camara-orcamento-de-r-40-bilhoes-para-2022/

The most surprising line that I am reading here is to give tax exemptions to the industry, it's the first time you will see a person who is in the government saying that Cryptos should be given tax exemption. But I think his dream will remain a dream only if he is not able to convince the major government of the country, because if the central government is against Cryptos, they will never allow any taxpayer funds to go into cryptos.

Such a big city has to have quite a budget. I won't call that 1% worthless.

I've found this paper, but I don't know if it's the numbers we expect.
At page 5 (see image below) it shows at least 15000M BRL, of which 1% is 27M US dollar. I can call it a good start.
And even if this would not happen, I am still happy to see tax exemptions and basically a warm welcome to crypto businesses there. It's a good news.

According to sources

What intrigued me was the pros and cons that occurred on the ground when Eduardo Paes' statement was slightly criticized by Federal Deputy Kim Kataguiri (DEM-SP) who claims to oppose the passage of Bill 2303/15 due to cryptocurrency restrictions. market. This was conveyed by Kataguiri in the video which he uploaded last January.

In short, there are two things that make a Kataguiri express his opinion, namely regulation and taxation. First, regulations that in my opinion give freedom to branch representatives to determine the operational criteria of the stock exchange. Meanwhile, among investors, this raises considerable doubts, because in the bill there is a proposal that only benefits companies that already operate in the cryptocurrency sector, must use a centralized authorization service. In simple terms, a company is considered not a legal entity if it does not use central authorization, and if it does not, it will be subject to sanctions.

The teasing and all is fine but imagine this is getting really implemented throughout the nations around the globe. Just like the way they all came together to put in the internet network around the globe, hand in hand I think they should also accept the crypto currencies which is running on their hardship internet.

These small news like this mayor and that mayor is getting involved into crypto is all fine for now, they are giving some push to us, or to the state peeps from the respective state. Its added bonus for sure. This makes those peeps to think about it and thus get into the business of crypto.

I just hope that they do not drain up the state money into dust out of greed of multiplying the wealth.

An infra and proper planned execution is indeed for this.

Just realistic, nothing more than that. This is an exaggeration of something that may have minimal significance for one city, not even for Brazil as a whole.


If he receives his salary in Bitcoin and then converts it into fiat (and I guess that’s the case), then that’s the same story we’ve been telling for years about whether crypto payment processors are positive or negative for Bitcoin? Everyone wants Bitcoin, no one wants it directly, I think that speaks volumes about trust.



I’ve been reading this forum since 2014, and I’ve read so much nonsense that I could write a book. Then there was talk of some 1-1.5% of those who own or trade Bitcoin, by the end of 2017 maybe it increased to 2.5% to 3%, today it is certainly not more than 5%. Talking about some kind of mass adaptation through central banks and the defeat of fiat currencies is not at all serious, but I understand that some have a need to live in fairy tales, their choice.


Of course, we can still support the idea that anyone can buy $10 worth of BTC, and then pay $20 to withdraw the same coins from the exchange if they are not aware of how things stand. The human perception of the value they get for their money has changed significantly when it comes to Bitcoin - if you ask someone if they want to buy 0.002 BTC for $100 or 100 xxx coins for the same amount, most remain in great doubt. An ordinary person could buy 1 BTC very easily 5-6 years ago, today he can only dream about it, and the time will come when even 0.10 will be astronomically far away.

You seem a bit pessimistic, Lucius. At the moment we don't know if it's going to happen. Besides, in Miami it is not all negative, far from it, the city has given extraordinary publicity to Bitcoin. Don't you think that the mayor of Miami receiving his paycheck in Bitcoin is good news? Now the mayor of New York wants to copy him. There have been many events about Bitcoin Miami and there are many ATMs and places where you can pay in Bitcoin there.


Here, again, I see you pessimistic. To me, it seems extraordinary to create a digital currency and have it have the level of adoption that it has today. Besides, in your future projection you rule out exponential growth. I think it will be faster.


I agree that it is not going to be a killer of the current financial system, but it offers a space for freedom for those who care about privacy by using it. However, the massive adoption will come from the financial system, with regulated exchanges, custodial wallets, derivative products, etc.

Why do you say it will be inaccessible to the common man? As of today the best that someone with limited resources who can save a little bit can do is to put the savings into Bitcoin by doing DCA. He's not going to get as rich as the winklevoss twins, but he's going to improve his situation a lot.

Is it cynical to treat all news like this as popularity moves and back chanelling to secure backing? You want to make lives a little bit better for your citizens, great. But I hardly think making crypto investments (again, note there actually isn't any specific Bitcoin intent) see the elite as benefactors, especially in a place hardly known for transparency. Not to point fingers since my own country sits very low in Transparency Index...

Bitcoin is not a magic wand to fix economic problems. Politicians are either naive or deceptive if they claim it does.

This little thing is massive for the cryptocurrency community. It just shows that being part of the economy is already a good thing to do, especially for those who have been part of this for a long time. Imagine being able to continuously invest in crypto for the past few years and finally have some significant funds for it, and you'll be thankful.

I hope many more people see the possibility of crypto, its importance for everyone, and its message.

I don't know what's amazing about this story, that another city will start creating its own shitcoin? What's even weirder is that you think the central banks will embrace Bitcoin and just throw away fiat or gold. If it's easy for a member who has been here for years to sell a story like this, it's no wonder that all beginners live in the grave delusion that Bitcoin will rule the world.

Less than 5% of the world's population has come into contact with Bitcoin in some way so far (from 2009), it is not realistic to expect more than 15% by the end of the decade. Bitcoin is just an alternative, no killer of the existing financial system - and besides, greed is increasingly destroying it as a cryptocurrency and turning it more and more into digital gold that is becoming increasingly inaccessible to the common man.

I believe you add the word "plan" on the title because its a bit misleading. Although this is a good initiative and I believe he might get the approval since South America is known for crypto friendly region while the 1% allocation is still safe to invest. I hope they will follow El Salvador footstep for mass adoption for cryptocurrency in general.

That's amazing news. That's what real adoption looks like. First the mayor, then the central banks will adopt bitcoin and then the USD will be no more. Like Hemingway said: "Gradually, then suddenly." It starts always slowly and before you realize it will already be  at max speed. That's called "snowballing effect". I hope we can see more of these positive news in 2022.

Regardless of how small that 1% appears to some, I think it's a good start or as @worle1bm mentioned, a "smart move".

It's probably a little bit of both ^{[BTCitcoin and their own version of a CityCoin AKA "Crypto Rio" (like what @Lucius referred to: MiamiCoin) [there are a couple more: NYCCoin and AustinCoin]]}...

In Brazil? Where did you get such an idea?

Corruption is everywhere, the whole of Central and South America is synonymous with corruption and incompetent politicians, Brazil is no exception. What caught my eye was the fact that the mayor of Miami was mentioned, who also started talking about Bitcoin, and in the end, it all ended with MiamiCoin. I wouldn't be surprised if something like this happens in Rio, because they're all looking for a way to jump into the crypto train, but Bitcoin is just a stepping stone.

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I couldn't find what the annual budget for Rio is, does that 1% mean anything worth mentioning at all?

It sounds great, and I'd be happy if my city's mayor tried doing something like that, but given that it's basically taxpayers' money we're talking about, I'm pretty sure that one person cannot legally make that decision and someone will have to vote on that. Not to mention that it's a city, so the country's administration probably needs to give green light as well. I tried to find out how much 1% of Rio's city reserves is, but failed. I can see that people are trying to guess it as well, but I haven't seen official estimates. Moreover, if it's for cryptos in general and not Bitcoin specifically, it's less exciting and the article's name is very misleading, as was pointed out earlier in the thread.

And the massive adoption of Bitcoin continues. It’s much more contagious right now than the Omicron outbreak right now lol. How I wish that in my country Philippines, our respective mayors and officials (as long they are not corrupt) would embrace and adopt Bitcoin and cryptocurrencies to their local citizens. Despite the roller coaster ride of Bitcoin and other cryptocurrencies these days, there’s no stopping them from adopting cryptos. It’s the reality right now no matter how many bad news from the media do we get, like what China did.

This is one of the many ways action to support Bitcoin itself, even in some countries or cities that have some law about using Bitcoin or legal tender, which is for me it takes time.
But this Mayor, by just reporting about this, is already showing good support for Bitcoin. I just hope it is not involved with any corruption.

He’s not the first & he won’t be the last to make such a move. Governments & figures of authority will have no choice but to make similar moves in the medium to long term future. Every new tech or invention has doubters at the beginning but if it’s good enough & important enough then mass adoption happens. I personally think it’s neglectful for these people & authorities not to have some exposure to bitcoin, especially with inflation & the way current fiat currencies are performing.

We are not really sure which cryptocurrency they are investing in, although cointelegraph.com said that it is going to be Bitcoin, but the comment coming from the mayor says that they are planning to create their own cryptocurrency, which will be called crypto Rio, and then they would be investing 1% in cryptocurrency. He didn’t say whether it is going to be a Bitcoin or any other cryptocurrency at all, so it’s best to wait and hear more from him on whether they would be investing it in Bitcoin or any other cryptocurrency, or they are clearly referring to their own cryptocurrency that they plan on releasing?

This will surely bring positive effect in the whole Brazilian territory because Rio de Janeiro is the most popular city of Brazil and having this from their Own Mayor then the effect will spread out and maybe in sooner time they will invest not just 1% but will add more.

and also their People will trust bitcoin and crypto and will consider investing as well, with that if big businesses and proprietor invest in this market then a insignificant increase will come our way.

Hope this is not just a propaganda instead this will in reality sooner.

He has the power for money in the territory he controls, a brilliant idea if the mayor of brazil wants to invest in bitcoin, meaning: he is not selfish, he thinks how to build a city that he leads can progress and develop, Bitcoin is the best solution, that's good.

There are some leaders in government who invest in Bitcoin but for personal gain, not to build cities, Don't ask which country the leader is in, what's clear is that there is, what the mayor of brazil did is a good decision, if i were in brazil, i would support the mayor's idea.

I don't know but don't it sound a bit corrupt or at the least impudent because they use city funds on investing in a cryptocurrency that's volatile and the return would be unpredictable albeit tremendous? Pretty sure that it would raise some questions for some people as to why the Mayor did this. Hopefully this won't cause any problems internally because someone inside the government might not see the vision that they're seeing and that theey might see it as a waste of funds.

then what should be the impact of that Rio's 1% funds? will this even move the market upward ? though what i am looking here is the long term effect as he is obviously shilling for crypto and this is a good sign though.
but talking for the effect now? i dont see anything good coming soon.

Well, we know what mayors can do and that's probably under his power to pass and let it happen. But in this case, there could be constituents that would really be against the idea.
It's not always as good as what we're thinking because we're all bitcoin people but it involves the public funds and who knows if there could be laws that would be stepped on by his decision. But I guess, as a mayor, he knows his thing.

I don't know exactly how much it will be but I would not be surprised if it is more than what El Salvador has invested. El Salvador's GDP is around $25B, Brazil's $1645B (souce: google). Rio de Janeiro being the capital of Brazil, I'm guessing that it accounts at the very least for 25% of the GDP. That would make a minimum of $400B.

This makes it quite likely that they have more to invest than El Salvador. I don't know if there is anyone from Rio/Brazil who can give us an opinion.

Other than that, it sets a good example. If large public and private institutions start allocating 1% in Bitcoin we are going to have several million price per Bitcoin in a few years.

Yes even if they are taking some investment steps with low amount also then it's good on your part because that will yeild high profits in the long run.But i also feel like that 1% of city funds will be huge enough that can accumulate some btc in their reserves and having them will surely boost their investments.

This is smart move as allocating just 1% to btc won't leave a bad image in public minds and meanwhile they will be getting good profits out of it.

I agree, this is indeed a bold move where the thing that is done may be for the purpose of income for the receipt of bitcoin for the betterment of the city of Rio, and the impact is also possible that anything can happen. not necessarily the government will accept what is done by the mayor's actions, because obviously everything must be discussed at a higher level in the government.

but an action that is highly appreciated if you have a visionary for more advanced goals in the future for the progress of the city of Rio. indeed there must always be changes with the adjustment of renewable technological advances, because these developments must continue to be updated.

Whether the mayor is referring to investing particularly in Bitcoin or any other cryptocurrency, the impact here is that this city and the people leading it can be crypto-friendly so they will likely be ready soon to accept crypto-related businesses who got plan to base in Rio de Janeiro and there can tax breaks to entice them to come in and invest in the city. And of course, this can be a big signal for the people to also take a look at cryptocurrency as a possible investment vehicle as they now have a model to follow...their own city. While we should not expect that Brazil can make Bitcoin as a legal tender, just recognizing it as officially an asset just like any other popular foreign money can be a big step forward.

If you think about it, 1% is actually a pretty responsible amount to allocate in bitcoin; knowing that the funds should be used to improve the city in the first place. Take note that we're talking about an actual city, not a hedge/mutual fund.

This is a bit questionable but a big move nonetheless, pretty sure that a lot of people in Rio have been consulted about this kind of thing because this is city funds that's invested in something that's super volatile and the profitability isn't exact and some people might not see the big picture so hopefully they did these prerequisites before proceeding in doing this.

He wouldn't be able to do it alone without consensus, I think he can't do it by himself so he needs approval from the officials around him. This is a good development though because hyperbitcoinization is already about to erupt everywhere in Latin countries. All of them will agree in the end which they may probably increase the percentage. It only needs a bit of a Bukele willpower to magnify the effect of Bitcoin in Brazil.

There must be a consensus between him and other officials under his city before proceeding on it. Even it's too low for 1%, just like what happened in El Salvador, still, many people will dislike the idea. I'm into it and like the idea but I'm not from that city and for sure there are people that would go against his proposal. If it's his funds then there's no problem with it but if it's the fund of the public, for sure there will be people that would like to disagree and don't like the idea.

Investing 1% of the city funds is almost nothing, I didn't know how much the overall fund they had but I think 1% allocated is a very small amount.
It seems they are trying a small amount that they can afford.

But the good thing is the exemption on the tax which is the right thing to do than trying to regulate Bitcoin on their own which they can't.
I know the government is fully relying on collecting Taxes, it may be they understand how Bitcoin will work.

I do not care whether the government invest in the cryptocurrency market or not but the import aspect here is they are thinking about tax exemptions to the new market and that is how a government should be rather than some countries ruled by jokers planning to regulate and restrict the market. If we want to see innovation, it should be a free and open market.

The reported quote talks about investing into cryptocurrency and not Bitcoin in particular, so the headline is a bit misleading and as may others is a ploy to get traffic from Bitcoin users and news about government adoption is one to get people excited.

I am not really concerned about the news of investing city funds into Bitcoin, it is fast becoming the safest way to store wealth and it's only a matter of time before more nations and treasuries use it. I was more interested in the part which talked about tax exemption which I believe was teased in the US infrastructure bill which was public some months ago. This is a big step from any nation which wishes to become more crypto friendly.

Brazilian city Rio de Janeiro's mayor, Eduardo Paes wants to assign 1% of the city’s treasury to Bitcoin. Paes talked about plans for turning the city into a cryptocurrency ecosystem hub.
Mayor announced We are going to launch Crypto Rio and invest 1% of the treasury in cryptocurrency. The government has a role to play. Paes added that the state is also preparing to instruct tax exemptions for the crypto industry.

The news tells that the govt has a warms stance on Bitcoin and the cryptocurrency industry. Hopes that in near future the govt will bring a better environment for the industry.
Reference: https://cointelegraph.com/news/brazilian-mayor-to-reportedly-invest-1-of-city-reserves-in-bitcoin