Detroit residents will soon have the option to pay their taxes and other city fees using cryptocurrencies through PayPal, as announced by the Detroit Office of the Treasury. The new payment method is expected to be available by mid-2025 and will be facilitated through a secure payment platform managed by PayPal. While it is not yet specified which cryptocurrencies Detroit will accept, it is worth noting that PayPal currently supports a limited number of tokens including bitcoin, ether, bitcoin cash, litecoin, and its own stablecoin, PayPal USD.
Once this payment option becomes active, Detroit will become the largest city in the United States to accept crypto payments. Other cities such as Miami Lakes, Florida, and Williston, South Dakota, as well as states like Colorado, Utah, and Louisiana, already allow crypto payments for certain city fees or taxes. These cities and states have partnered with third-party payment processors like PayPal or BitPay, which convert crypto payments into US dollars.
Detroit’s decision to embrace crypto payments is part of a larger effort to leverage new technologies for economic growth and to attract blockchain and technology companies to the city. Mayor Mike Duggan expressed his enthusiasm for making Detroit a technology-friendly environment that empowers residents and entrepreneurs. By exploring blockchain civic applications and enabling residents to use cryptocurrency for payments, Detroit aims to position itself as a hub for innovation and entrepreneurship.
In addition to the crypto payment option, Detroit is inviting crypto entrepreneurs to submit proposals for blockchain applications that focus on enhancing transparency, improving data security, and streamlining public services. Entrepreneurs can pitch their ideas to the city’s first Director of Entrepreneurship and Economic Opportunity, Justin Onwenu. This initiative underscores Detroit’s commitment to embracing new ideas and fostering an environment where bold innovations can flourish.
The city’s announcement signals a shift towards greater accessibility, efficiency, transparency, and security through blockchain technologies. By welcoming entrepreneurs who are at the forefront of this work, Detroit is signaling its readiness to embrace the potential of blockchain in driving innovation and progress.
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Cheyenne Ligon, a news reporter at CoinDesk focusing on crypto regulation and policy, has provided insights into Detroit’s decision to accept crypto payments and the broader implications for the industry. Stay updated on the latest developments by following @cheyenneligon on Twitter.