Cryptocurrency can be used to replenish the local budget, despite the fall of the crypto market by more than 50% over the past six months
The mayor of the Australian city of the Gold Coast, Tom Tate, has proposed accepting cryptocurrencies as payment for municipal taxes. The head of the city council instructed to study the possibility of receipt of digital assets in the budget, according to ABC News .
“Why can’t we pay taxes in cryptocurrency if the risk is low? Volatility is not so bad,” the mayor said.
Taxes can be partially paid with cryptocurrency in the coming years, suggested Tom Tate. In his opinion, the use of digital assets will send an innovative “signal” to young taxpayers.
The City Council could accept 95% of the bill in Australian dollars and the remaining 5% in crypto, Blockchain Australia Chairman Adam Poulton said.
“We are happy to risk the other five percent, keep it and see how we can use it in the future,” admitted Poulton.
In his opinion, the underlying technology provides “many opportunities”, but the main problem for its development so far is the difficulty of incorporation into bureaucratic organizations, such as local governments.
Taxes can already be paid with bitcoin in El Salvador and in the Central African Republic , where the cryptocurrency is recognized as legal tender.