Lugano City – Switzerland recognizes Bitcoin, Tether, LVGA as legal currency

Citizens in Lugano City – Switzerland will be able to use Bitcoin, Tether and LVGA to pay for taxes, goods and services.

The city of Lugano is presenting its own Bitcoin, Tether and LVGA token as a legal tender.

Officials from the city and Tether announced the update, titled “Lugano’s Plan B.” Lugano citizens and companies will be able to use Bitcoin, Tether and LVGA to pay for all goods, services and taxes “in the near future.” When citizens use crypto assets as currency, the money is converted to local fiat through a third-party intermediary.

Lugano’s Plan B will see the city and Tether teaming up in hopes of making Lugano the center of blockchain adoption in Europe. Through the partnership, Lugano City and Tether hope to demonstrate real-world utility for blockchain in local communities, marking Tether’s “first full-scale urban real-world use case” .

The city is also focusing on helping businesses integrate payment solutions for stablecoins, and plans to leverage Bitcoin’s Lightning Network Layer 2 for scalability. Lugano City and Tether have also committed to a number of other initiatives, including the creation of a blockchain company hub and funds for startups. In addition, Lugano plans to use green energy to mine Bitcoin.

Michele Foletti, Mayor of Lugano City, says the city is “investing in its future” through the partnership. He explained that Lugano strongly believes in the potential of blockchain and that the partnership will help build “a better and more open, transparent and smart city”.

Paolo Ardoino, Chief Technology Officer, added that Tether expects Lugano to “become a model for global adoption” of crypto technology, commenting that the company hopes to help all businesses leverage blockchain in the future.

Although Lugano is the first Swiss city to announce that it will use Bitcoin as legal currency, it is not the first in the world to do so. Miami USA launched a cryptocurrency called MiamiCoin last summer and El Salvador made history when it officially recognized Bitcoin as legal currency in September 2021.