Liechtenstein to Accept Bitcoin Payments for Certain State Services

  • The country plans to accept Bitcoin payments for certain state services.
  • The Prime Minister said Bitcoin remains too risky for the state’s reserves.

While some governments and financial institutions remain skeptical, Liechtenstein, the sixth-smallest nation worldwide, is embracing the revolutionary blockchain technology to facilitate transactions.

In a recent interview with a local media house in German, Liechtenstein Prime Minister Daniel Risch announced that the country plans to allow Bitcoin (BTC) payments for certain state services.

According to Risch, Liechtenstein intends to accept deposits in Bitcoin and immediately convert them into the Swiss franc, the official currency and legal tender of Switzerland and Liechtenstein.

While Risch did not provide a specific timeline for implementing the crypto payment option, he affirmed the service was in the offing. Additionally, the prime minister stated that the country is not planning to take any significant risks with state money; however, he expressed openness to investing state reserves in Bitcoin.

Despite his enthusiasm for crypto, the prime minister acknowledged that Bitcoin and other digital assets remain too risky for the state’s reserves. In his words, “Cryptocurrencies like Bitcoin are still too risky. But this assessment can, of course, change.”

Liechtenstein’s decision to accept Bitcoin payments and consider investing state reserves in the crypto is another sign of the growing mainstream adoption of digital assets. In 2021, El Salvador made history when it became the first country to adopt Bitcoin as a legal tender.

According to information from BuyBitcoinWorldwide, El Salvador holds 2,381 BTC with an average purchase price of $43,357. Although the country has invested $103,233,360 in these crypto purchases, the current market value is over $66 million, implying more than $36 million in losses.

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