[NEWS] Detroit to accept cryptocurrency tax payments from 2025

On the 7th, the city of Detroit, Michigan, announced that it will accept cryptocurrency (virtual currency) payments for tax and utility bill payments through a platform managed by PayPal.

The city of Detroit said it has become the largest city in the United States to accept cryptocurrency payments.

According to the announcement, the support for cryptocurrency payments was made as part of the city's strategy to improve public services, strengthen citizen participation, and promote economic growth. In addition, by flexibly accepting cryptocurrency payments, the city has shown its welcoming attitude toward blockchain and technology entrepreneurs.

Mayor Mike Duggan commented, "The City of Detroit is building a technology-friendly environment that empowers residents and entrepreneurs," and continued, "We are pleased to be one of the major cities in the United States to explore blockchain civic applications and enable residents to use cryptocurrency as a payment option."

The city plans to accept cryptocurrency payments for tax payments and other purposes in mid-2025.

Nikhil Patel of the City of Detroit said, "This will increase convenience for citizens who want to use crypto assets as a means of payment," and added, "What's important is that it will make it easier for more people, including citizens who don't have bank accounts, to make electronic payments."

The City of Detroit also announced that it will be soliciting applications for city government applications that use blockchain. "We are interested in projects that use blockchain to increase transparency, improve data security, and streamline public services," the city explained. Applications will be accepted until the 15th of next month.

Former Republican President Donald Trump won the US presidential election on the 5th and is expected to be inaugurated as the next president. Trump has shown a positive attitude towards cryptocurrencies and is expected to work on clarifying regulations. Currently, cryptocurrencies can be used to pay state taxes in three US states: Colorado, Utah, and Louisiana. The city of Detroit has recently announced that it will support cryptocurrencies, but the movement to adopt cryptocurrencies remains slow. However, it is possible that Trump's actions will have an impact on each state in the future, and the use of cryptocurrencies will spread in light of the increased convenience.

Reference: Announcement
Image: Shutterstock

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