Thomas Daniels
Detroit is set to become the largest U.S. city to allow cryptocurrency payments for taxes and city fees, marking a significant step in urban crypto adoption. Starting in mid-2025, residents will be able to settle tax obligations and other city payments using cryptocurrency through a platform managed by PayPal, Detroit officials announced today.
This initiative aligns with Detroit’s strategy to integrate new technologies into public services, fostering economic growth and appealing to tech-savvy residents and businesses. In line with Michigan’s increasing pro-crypto stance, the State of Michigan Retirement System recently invested $6.6 million in ARK 21Shares’ ARKB spot Bitcoin ETF, indicating regional support for digital assets.
Detroit aims to position itself as a tech-friendly hub, welcoming blockchain entrepreneurs to contribute to civic projects. Mayor Mike Duggan emphasized Detroit’s dedication to this transition: “Detroit is building a technology-friendly environment that empowers residents and entrepreneurs. We’re excited to allow residents to use cryptocurrency as a payment option.”
Detroit’s Treasurer, Nikhil Patel, highlighted the modernizing impact of the crypto-payment initiative. “This new platform will increase accessibility for Detroiters who want to use cryptocurrency,” Patel said, noting that it would enhance payment options for residents, particularly those without traditional banking services.
Alongside the rollout, Detroit is inviting blockchain innovators to propose use-cases that could enhance city services, with a focus on transparency and data security. The city’s acceptance of crypto payments puts it in the company of other states like Colorado, Utah, and Louisiana that have also adopted cryptocurrency for public payments, underscoring a nationwide trend toward digital payment systems.
