Detroit is making history as the first major American city that will permit cryptocurrency to pay for its services. The groundbreaking move was announced by city officials on Thursday, allowing residents to start paying taxes and city fees with cryptocurrency through PayPal's secure payment platform starting in mid-2025.

“Detroit is building a technology-friendly environment that empowers residents and entrepreneurs,” said Mayor Mike Duggan. The mayor added they are excited to be among the first big American cities to explore blockchain technology’s potential and to provide residents with a convenient additional way to make payments by offering cryptocurrency as an option. The effort goes far beyond convenience in terms of simply paying a bill, as it also forms part of a broad initiative to upgrade city services and further financial inclusion.

This makes Detroit, with its 630,000 residents, the leader of the pack in terms of city cryptocurrency adoption. While three states in the country allow cryptocurrency in state payments—Colorado, Utah, and Louisiana—today few cities other than Williston, North Dakota, and Miami Lakes in Florida permit crypto at a municipal level.

The city is also actively seeking blockchain entrepreneurs to propose innovative public applications with a focus on projects that could enhance transparency, security and efficiency in public service delivery.