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American state of Ohio accepts bitcoin as a means of payment for taxes

American state of Ohio accepts bitcoin as a means of payment for taxes

For the first time in the United States there is a state that accepts bitcoin as a means of payment for taxes. As of today, companies in the state can pay their taxes via the site ohiocrypto.com. That’s what The Wall Street Journal reports today.

Payments through the platform will not be processed directly by the State of Ohio. Instead, they are routed via the blockchain platform BitPay Inc., which converts bitcoin payments into U.S. dollars. There are 23 types of taxes that can be paid off by businesses using bitcoin, including those on cigarettes, tobacco, fuel and VAT.

Blockchain economy

According to Ohio State Treasurer Josh Mandel, the decision to accept bitcoin as a way of paying taxes stems from the state’s broader ambitions to build a more tech-friendly image around itself. According to the NPR site, the state also hopes to build a local economy around blockchain technology.

If you have a blockchain-startup, this is where you want to start, says Bernie Moreno. He is the figure behind the attempts to get bitcoin and blockchain more widely accepted within Ohio. If you’re going to invest in a blockchain-startup somewhere, this is where I think you should do it. If you’re a developer, or a student who wants to be involved in the development of blockchain, then you want to do it in Cleveland.

Here to stay

The fact that bitcoin is accepted as a means of paying taxes does not mean that the crypto currency is a legal means of payment throughout the United States. However, it is an indication that bitcoin will not just disappear. Yet at the same time, cryptographic currency is not doing so well.

In recent weeks, the value of bitcoin has fluctuated considerably. While the value peaked at almost $23,000 at the beginning of this year, it is currently less than $4,000 per bitcoin. That’s because of persistent hacks of crypto fairs and wallets.

This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.