The innovative city of Lugano, Switzerland appears to be embracing the burgeoning world of cryptocurrency. According to Pietro Poretti, the city’s director of the economic development division, Lugano aims to allow its residents to live exclusively using Bitcoin. Revealed during an interview with a reporter from Cointelegraph, Mr. Poretti explained that it’s now feasible to establish a company in Lugano using Bitcoin as capital, given there’s a minimum of 100,000 Swiss Francs – or roughly $116,000 – available in the digital currency to register.
With businesses already starting to register their operations in Bitcoin, there seems a hopeful trajectory for a future where most, if not all, financial transactions within the city can be completed using cryptocurrency. A rising number of establishments within the city where Bitcoin can be utilised to purchase goods and services contributes to this optimistic landscape.
In a striking move, Lugano city is even accepting Bitcoin for tax payments and other fees – a clear indication of Lugano’s commitment to fostering a welcoming environment for crypto enthusiasts. This, however, does not extend to obtaining a residence permit via Bitcoin, a decision taken at the cantonal level, which sits outside of the city’s jurisdiction. Nevertheless, the progressive approach Lugano has adopted may encourage other Swiss cantons to consider following suit.
Yet, it is important to remember the unpredictable nature of the cryptocurrency market. While the use of cryptocurrencies like Bitcoin offers tremendous opportunities for financial decentralisation and freedom, critics state that it still lacks the stability required for it to be relied upon as a sole means of financial exchange.
Furthermore, these digital currencies can present significant cybersecurity risks. Hardware-based attacks, for example, are a pertinent concern in the crypto industry. USB keystroke injection devices, which could theoretically be used to steal Bitcoin or other cryptocurrencies, are being highlighted by cybersecurity experts as a potential threat. As they suggest, even the most innocuous looking device could, when plugged into a user’s system, download malicious software and compromise the system in unpredictable ways.
In conclusion, Lugano’s move towards being a crypto-friendly city is an exciting development in the fin-tech world. However, it must be accompanied by advances in cybersecurity measures to fully realise the potential of such a crypto-friendly environment.
Source: Cointelegraph
