Panama City Approves Crypto Payments for Taxes and Government Services

In Brief:

Panama City Council greenlights use of BTC, ETH, USDC, and USDT for public payments.

Crypto will be instantly converted to USD via banks to meet legal tender requirements.

Panama City has officially approved the use of cryptocurrencies for payments to government institutions, including taxes, fines, licenses, and tickets. Mayor Mayer Mizrachi confirmed the update on X, stating the city council has passed the measure without requiring new legislation.

The initial phase includes support for Bitcoin (BTC), Ethereum (ETH), USD Coin (USDC), and Tether (USDT). Under the plan, crypto payments will be automatically converted into US dollars through cooperating banks to comply with Panama’s legal payment frameworks.

This move positions Panama among a growing number of jurisdictions adopting crypto in public infrastructure, aiming to offer more flexible and modern payment options for residents and businesses.

Panama’s crypto adoption reflects broader regional interest in blockchain-based financial integration, especially in Latin America where demand for dollar-pegged stablecoins and alternative financial access continues to rise.

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