The city of Detroit announced that it will accept cryptocurrency payments for taxes and other city fees, making it the largest U.S. city to do so. The city also said it’s making a significant push to welcome blockchain entrepreneurs into the city.
Residents will be able to use cryptocurrency via a secure platform managed by PayPal. City leaders said the decision to accept cryptocurrency is part of a larger city-wide strategy to explore innovative technologies that could enhance public services, strengthen civic engagement, and foster economic growth.
The payment option will become available in mid-2025 along with additional improvements to city payment services, said Treasurer Nikhil Patel.
“The Treasurer’s Office is committed to modernizing our payments channels and processes to enhance the customer experience and improve internal operational efficiency,” Patel said. “This new payment platform will increase accessibility for Detroiters who would like to use cryptocurrency; more importantly, the platform upgrade will also make it easier for Detroiters to make electronic payments – including those who may be unbanked.”
In addition to making it easier for residents to transact with the city, Detroit officials said the decision shows the city’s commitment to welcoming blockchain and technology entrepreneurs.
“Detroit is building a technology-friendly environment that empowers residents and entrepreneurs,” said Detroit Mayor Mike Duggan. “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.”
The city is also asking blockchain entrepreneurs and innovators to pitch their ideas for blockchain civic applications to Justin Onwenu, the city’s first director of Entrepreneurship and Economic Opportunity.
The city said it is especially interested in projects that leverage blockchain’s potential for enhancing transparency, improving data security, and streamlining public services. The call for proposals is open until Dec. 15. Proposals should include descriptions of the proposed solutions, potential stakeholders, costs, and risks, and should also outline how their ideas will improve city services and benefit city residents.
“This announcement represents our openness to new ideas and dedication to positioning Detroit as a place for entrepreneurs and bold ideas to thrive,” said Onwenu. “Blockchain technologies have the potential to drive greater accessibility, efficiency, transparency, and security and we’re excited to hear from entrepreneurs at the forefront of this work.”
