Colorado Gov. Jay Polis says his state will allow residents to pay their taxes with cryptocurrencies like Bitcoin starting this summer, as cities and states throughout the country vie to become the nation's 'crypto capital.'
Polis says the payments would go through an intermediary, who will convert the rapidly fluctuating digital currencies to US dollars that can be deposited into the state's treasury and actually be used to pay for things.
One Bitcoin is currently worth $43,802.80, down from more than $67,000 in November.
'It is kind of like credit card payments, with the bonus that there are no returned payments!' the governor tweeted on February 23.
In an interview with CNBC last month, he said he hopes to 'roll that out for all of state government,' accepting the digital coins for things like driver's and hunting licenses, later this year.
Polis, 46, is a former tech entrepreneur who founded an internet access company, an online florist website and a greeting card website in the 1990s. His net worth was estimated at $313 million in 2015.
Colorado is among a handful of municipalities in the country hoping to turn themselves into hubs for the $3.3 trillion cryptocurrency market. The mayors of Miami and New York announced that they would take their first checks in Bitcoin last year, even as the technology has come under fire for its toll on the environment.
A spokesman for Gov. Polis of Colorado called the move the 'next logical step on the path to digital statehood' in a statement to the Guardian.
'Governor Polis is proud to lead efforts to create a strong and dynamic crypto ecosystem that puts Colorado at the forefront of digital innovation,' said spokesman Conor Cahill.