Toulouse Becomes the First City in France to Accept Bitcoin for Subway and Public Transport Payments

According to several reports, Toulouse became the first city in France to accept bitcoin and other cryptocurrencies for subway and public transport payments

Toulouse, the city of love, romance, and… public transport? Yes, you read that right! According to several reports, the French city has become the first in the country to accept bitcoin and other cryptocurrencies for subway and public transport payments.

The public transport operator, Tisséo, launched the cryptocurrency payment option for metro, bus, tram, and cable car services on March 17, following a successful trial period. The initiative allows travelers to purchase tickets via the Tisséo mobile app, available on Android devices only.

Upon selecting the desired ticket, users can choose to pay in bitcoin (BTC) and over 70 other cryptocurrencies, which will be converted to euros at the point of sale. This partnership with fintech firm Lyzi keeps Tisséo immune to market volatility while providing passengers with the flexibility to use their preferred digital assets.

After selecting their cryptocurrency of choice, the funds will be channeled through an integration with the Binance exchange platform to facilitate the conversion to euros. A single ticket costs around 0.000024 BTC or €1.80 (around $2), with multi-ride passes and subscriptions also available.

The initiative, which was announced back in December 2023, also keeps iOS users in mind, though they may not be able to access the service due to Apple's policies regarding in-app cryptocurrency transactions.

The accepted cryptocurrencies include bitcoin, ethereum, XRP, solana, and USDT, among others. The move comes as France witnesses growing crypto adoption, with 18% of residents holding digital assets in 2024, according to Gemini's latest report.

Sacha Briand, the finance head at Tisséo, highlighted the goal of modernizing the transport operator's services, building on last year's rollout of credit card payments on buses.

However, users will be required to declare transactions on tax form 3916-bis, which may complicate small purchases like a single metro ticket. Additionally, there is a risk of price fluctuations during the conversion process, which could affect the final amount paid in euros.

Toulouse's experiment is the first of its kind in Europe, though several cities in Argentina, such as Buenos Aires, began accepting bitcoin for public transport as early as 2019. At the time, reports stated that around 37 cities in the country had adopted the cryptocurrency for transit payments.

Earlier French efforts to integrate bitcoin on a municipal level included bus company Isilines' trial of the cryptocurrency in 2016, but none achieved the scale of Toulouse's initiative.

If successful, the city's model could inspire broader European adoption of bitcoin and other cryptocurrencies for public services, especially as the continent's largest economies struggle with the high inflation levels that could be mitigated by using bitcoin's sound money properties.

However, the Android exclusivity and problematic tax implications might slow the momentum and limit the accessibility of the initiative.

Overall, Toulouse's experiment highlights the shifting trends in payment technologies and tests the viability of cryptocurrencies in public services. With the increasing ownership of digital currencies, this initiative may yet redefine urban mobility—if the regulatory and technical challenges are addressed.