As part of a partnership with Tether, the Swiss city of Lugano will allow its taxpayers to pay their taxes with Bitcoin (BTC) and USDT. On the other hand, Lugano wants to attract startups in the cryptocurrency industry by adopting a number of very crypto-friendly measures.
Lugano wants to democratize the use of cryptocurrencies
The Swiss city of Lugano will allow its citizens to pay their taxes in cryptocurrencies thanks to a partnership with Tether, the company that powers the popular stablecoin USDT.
In addition to this first step, the Swiss city aims to expand the acceptance of cryptocurrencies for the payment of goods and services offered in its city.
In parallel, the city has already worked with over 200 merchants to promote the adoption of Bitcoin (BTC) and payments via the Lightning Network.
In this sense, Lugano has initiated the “Plan ₿” which involves the creation of a hub in the heart of the city to foster the development of Bitcoin and blockchain related startups.
Here’s a video showcasing all the services within Lugano that can now be paid for in crypto assets:
lugano planb announced bitcoin tether and luga (CHF stablecoin) as legal tender.
Here are all the things that you can pay for within few months in the city.
pic.twitter.com/xkNA9Sp4Xw– Paolo Ardoino (@paoloardoino) March 3, 2022
In addition, the plan also foresees the creation of two investment funds. The first will be endowed with $3.26 million to be used to foster local adoption of Bitcoin, USDT, and LVGA, the city’s stablecoin (backed by the Swiss franc).
The second fund will reach $110 million and will be dedicated to cryptocurrency and blockchain-related startups looking to set up in Lugano.
Finally, the last aspect of this project is to make this technology known to the academic world. For this reason, Lugano plans to create a specialised study programme on Bitcoin and the Lightning Network to increase the skills of young students in these new technologies.
Lugano is investing in its future. In recent years, we have already implemented blockchain-based solutions, including the MyLugano app and its LVGA Points payment token, the Lugano Digital Frank and the 3Achain blockchain infrastructure,” said Lugano Mayor Michele Foletti.
Switzerland still ahead in cryptocurrency adoption
The city of Lugano’s project is not new to Switzerland. Indeed, other cities and cantons had taken the initiative to allow the payment of its taxes in cryptocurrencies.
For example, the canton of Zug accepts Bitcoin and Ether (ETH) from its taxpayers, or the city of Zermatt. However, the city of Zermatt only allows the use of the king of cryptocurrencies, namely BTC.
This proves once again that the Swiss authorities are becoming increasingly crypto-friendly, making Switzerland a prime location for cryptocurrency startups, unlike some of its neighbours.
