Liechtenstein Prime Minister Daniel Risch has announced that the country will soon accept Bitcoin (BTC) as payment for government services, highlighting its continued adoption of blockchain technologies.
Risch, who also serves as finance minister, said:
“A payment option with Bitcoin is coming.”
No timeframe has been given for the move, and Liechtenstein is not expected to hold onto any Bitcoin received. Instead, it will accept Bitcoin deposits and immediately exchange them for Swiss francs, the national currency, avoiding the currency’s volatility.
Liechtenstein is part of the European Economic Area, where the EU’s Markets in Crypto-Assets (MiCA) regulation could apply, providing regulatory clarity that could attract more crypto firms to the region. Lichtenstein follows a similar course to Swiss communities Zug and Lugano, which accept Bitcoin, along with some taxes and public services, with retailers including McDonald’s also accepting BTC.
The move is part of a growing trend of smaller nations embracing cryptocurrencies and blockchain technology; however, the sixth smallest nation in the world remains cautious in its approach. While the Liechtenstein Blockchain Act provided clear crypto regulation when it passed in 2019, Risch has expressed that Bitcoin and other cryptocurrencies are too risky for the country’s multibillion-dollar treasury, although this may change in the future.
Related: Liechtenstein adapts blockchain laws to developing crypto landscape
