Lugano accepts BTC and USDT for tax payments
06 Dec 2023
On Tuesday, Lugano announced in Switzerland that it would accept tax payments in Bitcoin (BTC) and Tether (USDT).
Individuals and businesses can now use the two digital currencies to pay municipal taxes, such as property and income taxes.
The initiative was launched in collaboration with Bitcoin Suisse to introduce an efficient way to process crypto transactions, Crypto News reports.
The move is part of Lugano and Tether’s so-called ‘Plan B’ initiative, which aims to shift the city’s financial infrastructure to blockchain technology with Bitcoin as the base layer. Plan B is being carried out to allow crypto payment for daily transactions, such as taxes.
The Swiss city of Lugano is one of the first in the world to adopt Bitcoin and Tether as means of payment for all municipal fees and services, underscoring the city’s commitment to championing crypto and making it part of daily life.
In order to implement the crypto tax payment system, Bitcoin Suisse altered the QR-Bill to work with Bitcoin and Tether to facilitate the payments. Under this system, taxes can be paid with Bitcoin or Tether by scanning a QR code and authorising the payment via a mobile wallet app.
“We are delighted to support Lugano in accelerating the use of Bitcoin technology as the foundation to transform the city’s financial infrastructure,” said Armin Schmid, Chief Product Officer at Bitcoin Suisse.
Lugano has now joined a growing list of cities and regions in Switzerland that are accepting crypto. Indeed, the municipality of Zug, the city of Zermatt, and the canton of Zug also permit crypto payments for taxes and government services.
This latest move by Lugano is a major breakthrough for blockchain adoption in the country and bringing crypto into the mainstream.