Detroitthe most populous city in the state of Michigan, announced on Wednesday (7) that started accepting Bitcoin and other cryptocurrencies when paying taxes. The decision was released shortly after Donald Trump won the US presidential election.
The text points out that two other US cities already accept cryptocurrencies, Willistonin North Dakota, and Miami LakesinFlorida. Two others mentioned are Miami and New York, where their mayors are known for their support of the industry.
Further on, it is also noted that each state of the Colorado has been accepting cryptocurrencies since September 2022, as well as Utah And Louisianawho also implemented the same program shortly afterwards.
While the strategy could bring cryptocurrencies into the money of these cities and states, they all use third-party solutions, such as PayPal and BitPay, as intermediaries and ultimately receive them in US dollars.
Detroit starts accepting Bitcoin and cryptocurrencies
Detroit is an American city known for being home to major car manufacturers such as General Motors and Ford. The city tried to be a pioneer again and began to accept this Bitcoin and other cryptocurrencies when paying taxes.
“Detroit is building a technology-friendly environment that empowers residents and entrepreneurs”said Mike Duggan, mayor of Detroit.
“We are excited to be one of the first major U.S. cities to explore civic blockchain applications and enable residents to use cryptocurrencies as a payment option.”
With a population of 633,000, Detroit is the largest US city to accept cryptocurrencies.
The solution will use PayPal as an intermediary and will be available from 2025, but no exact date has been defined.
“This new payment platform will increase accessibility for Detroit residents who want to use cryptocurrencies; More importantly, the platform update will also make electronic payments easier, including for those who may not have a bank account.”said Nikhil Patel, city treasurer.
In addition to collecting taxes, the government also wants to attract companies from the sector to the city. For example, interested parties can send an email to the government with details of their business plans.
Due to the date of publication, shortly after Trump’s victory, it is possible that the decision is related to the election results. This is because Trump has presented himself as “the president of cryptocurrencies” and made several promises to the sector.
This trend is global and can even be seen in Brazil. As an example: the Rio de Janeiro allows residents to pay for IPTU with cryptocurrenciesthe same thing happens in CuritibaWhere council members approved a similar project to accept cryptocurrencies.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
