Rio de Janeiro Will Accept Crypto Payments For Taxes

Rio de Janeiro will accept crypto payments for taxes and will become the first city in Brazil to do so as we are reading further in our latest cryptocurrency news.

Crypto adoption comes in various forms these days but it seems that countries are becoming even more open to the idea of allowing certain payments to be made using crypto and now Rio de Janeiro will accept crypto payments for taxes as well. The report from Bloomberg shows the announcement from the city indicating that its residents could become able to pay IPTU or Imposto Sobre a Propriedade Predial e Territorial Urbana using crypto starting next year.

The municipality wants to work with companies that are specialized in converting crypto into the Brazilian real which means once locals transfer the funds they will be converted into fiat instantly. Back in January, the city’s mayor also introduced a working group that focuses on how to accelerate the usage of crypto and boost the local economy. The note from city Hall outlined the creation of the Municipal Committee for crypto investments that will mitigate the risks and will start working on a regulatory framework.

The reports show that the city wants to enter the NFT world as well and some suggestions emerged to cerate NFTs with images of popular tourist attractions. Brazil has been among the countries that have an open stance on the digital asset industry and gave a green light to one of the first BTC ETFs last year. The reports also surfaced back in February that the Senate is preparing to vote on a crypto regulation bill. According to a survey from 2021, after El Salvador legalized bitcoin, about half of Brazilians supported the same idea of adopting the primary cryptocurrency.

As recently reported, The central bank of Brazil revealed that it picked a total of nine projects to go forward in its challenge to develop a central bank digital currency and one of the projects is Aave. The central bank of Brazil revealed the LIFT challenge where the current theme is “Real Digital.” the main goal of the challenge is to evaluate all use cases of CBDCs issued by a central bank and how technologically feasible they are.