The Swiss city of Lugano became one of the world's first municipalities to accept Bitcoin and Tether for all tax payments and city invoices starting December 5, 2023, advancing its Plan B initiative to integrate blockchain technology into municipal financial infrastructure.
Residents and businesses in Lugano can now settle any invoice issued by the city using Bitcoin (BTC), Bitcoin via the Lightning Network, or Tether (USDT) — covering taxes, duties, and fines with no upper amount limit. The system is powered by Bitcoin Suisse, a Swiss-regulated crypto gateway provider, using QR-Bill technology already standard in Swiss banking. Payers scan the QR code on their invoice, select their preferred cryptocurrency, and complete payment through any compatible mobile wallet.
"It is great to see that more and more Swiss municipalities are offering payments in cryptocurrencies as an option available to both citizens and companies, complementing traditional payment methods such as post-office counters and e-banking platforms." — Bitcoin Suisse Chief Product Officer
The move extends Lugano's earlier crypto payment portal — previously limited in scope — to cover the full range of municipal invoices. Bitcoin Suisse handles the payment processing infrastructure and already provides similar services for the Swiss municipality of Zug, the Canton of Zug, and the mountain resort of Zermatt, suggesting growing momentum for crypto-native municipal finance across Switzerland.
The tax payment expansion is the latest milestone in Lugano's Plan B initiative, a collaboration with Tether to use Bitcoin and blockchain technology as the foundation for transforming the city's financial operations. Lugano has positioned itself as a beacon for crypto-friendly governance in Europe, hosting annual Bitcoin conferences and building out a broader ecosystem of crypto-accepting merchants and services.
For investors and crypto holders, Lugano's approach demonstrates a practical model for municipal crypto adoption that sidesteps the volatility concerns regulators often cite. Because Bitcoin Suisse converts crypto payments into fiat for city accounting purposes, the municipality bears no direct price exposure — a design that could become a template for other European cities exploring similar programs. As the MiCA regulatory framework matures across the EU, expect municipal crypto payment pilots to proliferate, with Lugano's model serving as the proven reference case.
Keywords: BTC, Tether, USDT, Blockchain
Source: Editorial