Mayor Francis Suarez is planning to turn Miami into an innovative digital currency hub, and one of his objectives is for the city to be free from taxes. Suarez already has reached an agreement with CityCoins, an NGO with experience in the development of metropolitan currencies. CityCoins provides users with the software they can install on the PCs with which they can mint tokens. Then, they get paid for their efforts.
Profits And Taxes
The software is automated to allow 30% of the minted token to a specified city while the one who mints receives the remaining 70%. Using this method which began in August 2021, Miami City has earned over $7m worth of MiamiCoin. Even though the initiative is still new, Miami’s Mayor claims that the city could make at least $60m over the next 12 months. More importantly, it will give a whole new perspective on allocating city funds in addressing societal problems.
He further said, “imagine the possibility of running a government without necessarily taxing the citizens. The possibility is astonishing. Also, this agreement will eradicate the notion that without taxes or philanthropic gestures, city initiatives can’t be accomplished.” this concept suits Suarez’s vision for the city – a city attractive for tech companies in terms of the environment, weather, and low taxes.
Suarez further revealed plans to make the metropolis a tech hub rather than a travel hub. Hence, he is already meeting with top mining firms interested in establishing their facilities close to the south Florida power plant. He also said that the city’s business-friendly environment makes it attractive for top FinTech companies (such as Blackstone, Goldman Sachs, and Softbank) who have set up shop in their town over the last 12 months.
Four months ago, leading crypto wallet manufacturers, Blockchain.com, revealed that it would switch its headquarters to Miami, citing the city’s crypto-friendly regulation and environment. Less than two weeks after blockchain.com’s announcement, eToro (a crypto exchange and trading platform) also revealed plans to have an office in Miami.
Suarez said the authorities are working on the modalities that will enable payments of salaries, taxes, and some fees through bitcoin. Miami hosted a bitcoin conference four months ago, and industry watchers acknowledged the event as the most prominent crypto conference.
How MiamiCoins Are Generated
MiamiCoins are minted when miners mint stacks (a base cryptocurrency for the coin). The larger the number of stacks generated by miners, the higher such miners have a chance to earn MiamiCoins. MiamiCoin is already listed on the OKEx exchange and trades at $0.0026 during this week.
Anyone willing to support Miami can mine or buy the token, and as the demand for the coin rises than its supply, the tokens become more valuable. The MiamiCoins are automatically deposited in a reserve wallet which converts them into USD, and the authorities can decide when they withdraw the funds.
The initiative allows anyone to download the coin’s software and earn rewards for their efforts. However, some analysts opine that there is a need to establish some legal framework regarding the currency’s donations. For instance, a top criminal might use a lead to make donations to the city using this coin.