Detroit Becomes Largest US City To Accept Bitcoin And Crypto For Tax Payments

On Thursday, Detroit announced plans to become the largest city in the United States to accept Bitcoin and other cryptocurrencies for tax payments. According to local media reports, residents will be able to make payments through a platform managed by PayPal from mid-2025 as the city looks to modernize its payment systems.

Detroit’s Cryptocurrency Move

Mayor Mike Duggan expressed excitement about the initiative, emphasizing Detroit’s commitment to fostering a “technology-friendly environment” that supports residents and entrepreneurs. Duggan stated:

Detroit is building a technology-friendly environment that empowers residents and entrepreneurs. We are excited to be one of the first major US cities to explore blockchain’s civic applications and allow residents to use their cryptocurrency as a payment option.

The Motor City Treasurer, Nikhil Patel, highlighted the initiative’s role in payment channels and improving customer experience, claiming that the Treasurer’s Office is committed to modernizing processes to improve customer experience and internal operational efficiencies.

The introduction of cryptocurrency payments aims to increase accessibility for Detroit residents, including those who may be unbanked, by providing more options for electronic payments.

Detroit’s decision places it among a select group of jurisdictions embracing cryptocurrency for governmental transactions. Only three US states—Colorado, Utah, and Louisiana—currently accept cryptocurrency for state payments.