News

Panama continues to take steps to integrate cryptocurrencies into the economy, helping to position the “Hub of the Americas” as the hub for the digital economic future.

The latest move comes from Panama City, where the City Council has approved a plan to allow crypto payments of municipal taxes. The initiative sets up a framework that puts cryptocurrency payments into an escrow account, where the digital currency will be converted into U.S. dollars.

The system creates a secure path for tax payments through an authorized fiduciary, without the Municipality directly receiving or managing the cryptocurrencies.

While a small step, the move represents another example of Panama moving forward with integrating bitcoin and other digital currencies into the mainstream of the economy. City officials said the new system “positions Panama City as a pioneer in financial innovation and marks a step toward more efficient, inclusive, and digitally adapted public management,” according to coverage in El Capital Financiero.

At Punta Pacifica Realty, we’re regularly handling inquiries about using cryptocurrency to purchase Panama real estate, and are already set up to facilitate digital payments for several properties. With Panama ahead of the global curve, cryptocurrencies are poised to be a major driver for international sales in the future.

The Panama City council noted the system for cryptocurrency payments will provide several benefits to the city, including facilitating tax compliance from around the world and “strengthening transparency and modernization in municipal management.”