Lugano transforms into a crypto payment testing ground: 350 merchants, 4,000 attendees, and 140% growth behind the scenes

【Crypto World】The city of Lugano, Switzerland is becoming a real example of cryptocurrency payments. Since the end of last year, residents of this city have been able to pay taxes, parking fines, and even tuition fees directly with Bitcoin and USDT.

This system was launched in 2022 through a collaboration between Lugano and Tether, with a clear goal — to establish decentralized financial infrastructure at the city level. It sounds ambitious, but what about the actual implementation?

The number of merchants has already exceeded 350. Most of these businesses process transactions via the Bitcoin Lightning Network, with fees usually not exceeding 1%. Compared to the traditional credit card rate of 3%, the cost advantage is very obvious. The city government also provides merchants with free smart POS terminals, further lowering the access barrier.

Even more interesting is the incentive design of the MyLugano app. Users can earn up to 10% LVGA token cashback when participating in merchant transactions. These tokens can then be used to pay for parking fees, childcare costs, or other municipal services, creating a closed-loop circular economy system.

The ecological effects are beginning to show — over 110 crypto startups have already moved into Lugano. The fourth Plan ₿ Forum held in October this year attracted 4,000 people from 64 countries, a 140% increase compared to the project’s launch. This indicates that Lugano’s approach is attracting more and more attention and participation.