coinculture.com
Louisiana has made its first crypto transaction, allowing residents to pay for state services with cryptocurrency. The state’s Treasurer, John Fleming, announced that citizens can now use Bitcoin, the Bitcoin Lightning Network, and USD Coin (a stablecoin pegged to the US dollar) to make payments via any crypto wallet.
The first payment was processed through Bitcoin’s Lightning Network for a fine to the Louisiana Department of Wildlife and Fisheries. Fleming explained that this new payment option, made possible through partnerships with Bead Pay and local integration partners, is designed to reduce fraudulent transactions and modernise government systems. He emphasised that this move provides citizens with more flexibility in dealing with the state.
Importantly, although payments can be made in crypto, the funds received by the government are automatically converted into US dollars, addressing previous concerns about accepting cryptocurrency.
Republican State Representative Mark Wright, who championed the initiative, expressed enthusiasm for expanding payment methods in Louisiana. Wright’s efforts to integrate crypto into state payments began in 2022 when he established a digital assets working group. He also led a 2021 resolution recognizing Bitcoin’s inventor, Satoshi Nakamoto, for contributing to economic security.
In June, Louisiana passed legislation that bans the use of central bank digital currencies (CBDCs) but permits payments with other digital currencies, including those used by miners and node operators.