Home » Pro-crypto city of Lugano and El Salvador sign economic agreement based on adoption

Pro-crypto city of Lugano and El Salvador sign economic agreement based on adoption

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The southern Swiss city of Lugano and El Salvador have signed an economic cooperation agreement based on cryptocurrencies and blockchain.

According to an Oct. 28 announcement by Lugano, two jurisdictions that support cryptocurrencies signed a memorandum of understanding on economic cooperation at the city’s Plan B event. Lugano Mayor Michele Foretti cited El Salvador’s adoption of Bitcoin (Bitcoin) as legal tender as part of the city’s interest in the agreement, which allows crypto-supporting countries to establish a physical government presence to “facilitate cooperation with educational and research institutions.”

“The use of Bitcoin and blockchain technology creates new opportunities for growth and investment that benefit our community. It is a new alternative financial and exchange tool that facilitates trade and service delivery in a globalized world.” said Joaquín Alexander Maza Martelli, El Salvador’s ambassador to the United Nations in Geneva. “With this agreement, El Salvador is now much closer to Europe.”

Former Blockstream Chief Strategy Officer Speaking to Cointelegraph at Plan B Event Samson Maw He said the agreement is the “next step” for countries and cities to adopt BTC.

“[El Salvador and Lugano are] Start working together and working together on joint initiatives. I think that’s how we move each other forward — basically forming an alliance between places that have adopted Bitcoin. “

Stablecoin issuer Tether Announced in March Create a fund of up to CHF 100 million to help fund blockchain-based startups in Lugano. Supported Agreement for October 28 blog post. Chief Technology Officer Paolo Ardoino said Tether is “ready to help in any way it can”.

Related: McDonald’s Starts Accepting Bitcoin and Tether in Swiss Town

As part of its Plan B initiative, Lugano plans to allow residents to use BTC and Tether (USDT) and LVGA tokens are used as “de facto” legal tender in many shops and businesses in the region, as well as for paying taxes, parking tickets, public services and tuition fees.In El Salvador, BTC is recognized as legal tender Since the adoption of the country’s Bitcoin law in September 2021.