The mayor of Rio de Janeiro, the second-most populous city of Brazil, has plans to acquire Bitcoin using 1% of the city’s treasury reserves. This would make it the first city in Brazil to buy crypto as a store of value.
Aside from purchasing Bitcoin using the reserves of the city, the mayor also wants to offer tax reliefs for those who make payments with Bitcoin such as a 10% discount on taxes like the urban building or land tax (IPTU). IPTU falls under the category of federal and urban property tax.
In November 2021, Luiz Goularte, a congressman, proposed a bill that aimed for both public and private sector workers to be able to receive their salaries in bitcoin.