Last week Mayer Mizrachi, Panama City’s Mayor, signed an agreement enabling residents to use cryptocurrencies to pay municipal taxes, permits and fines. The signing of the agreement with Towerbank President Benjamín Méndez took place during the Panama Blockchain Week 2025.
Under the arrangement, residents can pay using cryptoassets (Bitcoin, Ether, USDC and USDT), which will be instantly converted into U.S. dollars by a licensed fiduciary, ensuring the Municipality itself does not handle or store any cryptocurrency.
With this scheme, cryptocurrency is being added as a new payment option alongside existing platforms like Yappy, without changing the current (tax) laws. This way it diversifies the available payment methods and contributes to the innovation and modernization of municipal processes.
Article by La Prensa on how the scheme works (in Spanish)