Detroit Approves Plan to Let Residents Pay Municipal Taxes Using Cryptocurrencies

Starting in 2025, people in Detroit, Michigan will be able to pay their taxes and other city fees with cryptocurrencies through their PayPal (PYPL) accounts.

Detroit residents will soon be able to pay their municipal taxes using cryptocurrencies.

The City of Detroit has approved a plan that will allow people in Detroit, Michigan to pay their taxes and other city fees with cryptocurrencies through their PayPal (PYPL) accounts starting in 2025.

Detroit’s Office of the Treasury announced on Tuesday that the crypto payment option will be offered through a secure payment platform managed by PayPal.

People will be able to use Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), Litecoin (LTC), and PayPal’s stablecoin, called “PayPal USD,” to pay their taxes.

The city will not directly hold any cryptocurrency and will convert the payments to U.S. dollars through PayPal.

Once Detroit officially begins accepting crypto payments, it will be the largest U.S. city to do so.

Two other cities, Miami Lakes, Florida and Williston, South Dakota, also accept cryptocurrency payments for taxes and some city fees.

Detroit’s decision to accept crypto comes as part of a larger push to embrace new technologies to foster economic growth and encourage technology companies to move to Michigan.

"We are excited to be one of the first major U.S. cities to explore blockchains civic applications and allow residents to use their cryptocurrency as a payment option," said Detroit Mayor Mike Duggan in a news release.

Bitcoin is currently trading at $76,200 U.S., an all-time high.