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The city of Lugano will use cryptocurrencies to pay taxes

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As part of new cooperation with stablecoin supplier Tether, the city of Lugano, the economic hub of southern Italian Switzerland, will use cryptocurrencies to pay taxes (USDT).

Prior to Tether's tweet, Lugano's "Plan B" was presented in a live video on Thursday.

Lugano's Plan B will see the city team up with Tether with the aim of making the city a blockchain adoption center in Europe.

Lugano and Tether seek to demonstrate the realistic use of blockchain in the local community through their collaboration.

Citizens and companies in Lugano will be able to pay for all products, services, and taxes using Bitcoin, Tether, and LVGA "soon," pending formal approval.

When citizens utilize cryptocurrencies as a form of payment, the funds are changed to local currency via a third-party intermediary.

Lugano and Tether have also committed to some additional projects, including the establishment of a blockchain business hub and a startup fund.

The city is "investing in its future"through the partnership, according to Michele Foletti, the city's mayor.

He stated that Lugano is a firm believer in blockchain's potential and that the collaboration would contribute to the development of "a better and more open, transparent and intelligent city."

Tether's Chief Technology Officer, Paolo Ardoino, added that the firm expects to see Lugano "become a model for global adoption" of cryptocurrency technology in the future and that the company intends to assist all businesses leverage blockchain.