The southern US state of Louisiana has taken a significant step toward adopting emerging financial technologies by accepting bitcoin (BTC) and USD Coin (USDC) payments for state services.
State Treasurer John Fleming announced a plan to integrate digital currencies into public operations, allowing residents to pay for services from their digital wallets.
This move materialized with a first payment made on September 17 to the Louisiana Department of Wildlife and Fisheries, marking a milestone in the state’s financial history. The initiative not only facilitates the transaction of state services with stablecoins, but also employs Bitcoin’s Lightning Network to streamline these payments, ensuring speed and efficiency.
“In today’s digital age, government systems must evolve and embrace new technologies. By introducing cryptocurrencies as a payment option, we are not just innovating; we are providing our citizens with flexibility and freedom to interact with state services,” said Louisiana Treasurer John Fleming.
The conversion of BTC to US dollars is done through a specialized service, which protects the state from the volatility of bitcoin. This system acts like a credit or debit card transaction, depositing dollar amounts directly into state government accounts.
According to reports, this service is offered by the local company Bead Pay, which will be responsible for facilitating these transactions and prevent the state from directly handling BTC or USDC deposited by residents.
“As one of the pioneers in the field of cryptocurrency transactions, our role is to ensure that these payments are not only efficient, but also secure,” said Jay Sykes, CEO of Bead Pay.
This development in Louisiana comes just months after the state’s Republican governor signed into law a bill defending the right to use bitcoin, as CriptoNoticias reported, reflecting a growing interest and acceptance of this digital asset in the government sphere. The law, which promises a clearer legal framework for the use of bitcoin, aligns with John Fleming’s vision. to modernize state transactions.
The integration of BTC and USDC into Louisiana’s public operations not only represents a technological advancement, but also an adaptation to the demands of an increasingly digital economy. This move could serve as a model for other US states, which are looking to innovate in their payment systems and public services, promoting greater financial inclusion and operational efficiency.
This article was created using artificial intelligence and edited by a human on the editorial staff.
