BTC, ETH, USDC, and USDT now accepted via automatic conversion to USD
Panama City is now accepting Bitcoin, Ethereum, USDC, and USDT for municipal payments including taxes, fines, fees, and permits, Mayor Mayer Mizrachi Matalon announced on Wednesday. The move places Panama’s capital among a growing list of global cities embracing crypto for public transactions.
Instead of pushing legislation, the city partnered with a local bank to enable real-time conversion of crypto into U.S. dollars — allowing legal compliance while offering residents the flexibility to pay in crypto.
“Legally public institutions must receive funds in dollars, so we partner with a bank who will take care of the transaction,” Mizrachi explained.
Panama joins global trend toward crypto payments
Panama follows cities like Detroit, which partnered with PayPal to enable crypto tax payments, and Colorado, which began accepting crypto for taxes in 2022. However, usage remains minimal. In Colorado, fewer than $60,000 in crypto tax payments were made over three years.
Still, the symbolic and technical steps signal Panama City’s desire to integrate digital assets into daily governance — and encourage broader adoption of crypto in Latin America.
