Detroit accepting crypto for taxes may open the doors for other avenues

Detroit becomes the first city to accept crypto

Detroiters will soon be able to pay with crypto, becoming the first in the US to do so. City officials say they are optimistic for this next step.

If you are ready to make moves into the world of cryptocurrency, Detroiters can now use them to pay their taxes.

Detroit’s Mayor Mike Duggan might not be a cryptocurrency guy himself, but he’s getting the city on the crypto train. The first city in the country to accept the virtual currency as a form of payment for taxes.

"It will be live in time for your July property tax payment," he said.

Starting in mid-2025, those that live in the city can pay expenses owed to Detroit with currencies like bitcoin as part of the government's push to become more compatible with blockchain technology.

The announcement comes with an invitation for entrepreneurs to pitch their ideas to the city in a bid to improve data security that protects sensitive information.

That is the brains behind the outfit, Treasurer Nikhil Patel said you’ll technically be using crypto through PayPal, which is converted to cash before the city handles it.

"They'll be able to go online and, just like checking out on Amazon, you'll have options credit card, checking account and PayPal cash or PayPal cryptocurrency," he said. "It will settle all in cash. The city is not taking on any volatility with the crypto market."

That was a must before making the move. It came after a resident suggested it at a city charter meeting.

"It is the first time we've seen the City using it as a payment option on a payment platform for property taxes."

Cryptocurrency is a digital currency, as it is not tied to a bank or government, but uses a public, digital ledger for secure transactions.

The plus, it's hard to counterfeit. The minus, it can be volatile, but more young people are on board with it.

"Our biggest export in Michigan isn't cars. It's our young people and this really bubbled up from young people saying why doesn't Detroit get with the latest technology," Duggan said.

If this all works out as planned, the city of Detroit will open up other city services to be paid for with crypto.

"I think this is a message that Detroit is a place that understands where the future is going, and they want to be a part of it," said Duggan.

Featured