Market Analysis Report (17 Feb 2022)

Colorado is set to accept cryptocurrency payments for state taxes by the middle of this year, according to the U.S. state’s governor, Jared Polis, who in an interview said the move was part of a longtime ambition of the state.

Polis added that cryptocurrency payments will initially be rolled out “for all of our state tax-related purposes,” and added that the plan is to then “roll that out across all state government for things — could be as simple as a driver’s license or hunting license.”

Polis is a longtime cryptoasset proponent, who has accepted BTC donations to his political campaign and spearheaded a push for Colorado to become a blockchain innovation hub. The state, however, is restricted in what assets it can hold. Polis said:

“It’s important that people know from a state perspective, we cannot be in the business of having exposure to a market where securities, including cryptocurrencies, fluctuate. In our case, we wouldn’t hold it as Bitcoin, as Ethereum.”

Cryptocurrency payments will, as a result, be converted into USD as soon as they are received.