- Mayor Suarez told CoinDesk TV that Miami will pay its residents a “bitcoin yield” from its city coin.
- “We’re going to be the first city in America to give a bitcoin yield as a dividend directly to its residents,” Suarez added.
- MiamiCoin was created by CityCoins in August. It donates 30% of its prize to the city when purchased or mined.
Mayor Francis Suarez told CoinDesk TV on Thursday that Miami will share some of the proceeds from the city’s own cryptocurrency with its residents and will distribute payments using digital wallets.
MiamiCoin was released in August through CityCoins, an open-source platform that gives cities 30% of the benefit when their coins are purchased or mined.
In the last three months, the cryptocurrency has brought in more than $21 million for the city. If annualised, it would be around $80 million, or one-fifth of the city’s total annual tax collection of $400 million, according to the mayor.
“We’re going to be the first city in America to give a bitcoin yield as a dividend directly to its residents,” Suarez stated.
Despite the fact that he referred to the payout as a “bitcoin yield,” the income will come from staking MiamiCoin, a different digital currency. Suarez expressed hope in October that MiamiCoin may one day support the city without requiring people to pay taxes.
WALLETS FOR RECEIVERS
However, before residents can receive their dividends, the city must first establish who will receive them. Taxpayers, voters, and residents are all possible parameters, according to Suarez.
There are also technological obstacles to overcome.
To set up wallets for the receivers, he said he’d have to work with a number of companies and crypto exchanges, which would necessitate a huge number of registrations and verification.
VARIOUS BIG PERSONALITIES SUPPORTING BITCOIN
Meanwhile, Suarez remains a big supporter of bitcoin, reiterating his position after the latest US inflation data revealed that prices are rising at the quickest rate in 30 years.
With him, many investors and entrepreneurs like Anthony Pompliano, Elon Musk and many more joins hand to take digital currency to new heights.
Because of its limited number of 21 million coins, Bitcoin has long been marketed as a hedge against growing prices. After the inflation statistics was released on Wednesday, the narrative stayed true, and bitcoin surged to an all-time high.
“When you see inflation at over 6%, which I think is an under-reporting of inflation, and you see the price of bitcoin surging, it’s clear that people are taking their money out of dollars and putting it in a currency, in a store of value, that they feel confident in,”he told in the interview.
Suarez is dedicated to establishing Miami as a digital innovation centre. Suarez announced on Twitter in November that he would collect his next paycheck in bitcoin. It was only to be outdone by New York City Mayor-Elect Eric Adams. Adams claimed he would take his following three paychecks in the same cryptocurrency.
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