Key Points
- Louisiana has begun accepting Bitcoin payments for state services.
- The state has partnered with Bead Pay to facilitate these transactions.
The U.S. state of Louisiana has started accepting Bitcoin payments for state services, marking the first time the state has embraced cryptocurrency payments.
On September 17, Louisiana State Treasurer John Fleming announced that residents could pay directly from their Bitcoin wallets. Payments can also be made using the Bitcoin Lightning Network and Circle’s USDC stablecoin.
First Crypto Payment
The state conducted its first cryptocurrency payment to the Louisiana Department of Wildlife and Fisheries via the Bitcoin Lightning Network. To streamline these transactions, Louisiana has partnered with Bead Pay and other local integration partners. Fleming hailed this initiative as a vital step in modernizing government operations.
Fleming stated, “In today’s digital age, government systems must evolve and embrace new technologies. By introducing cryptocurrency as a payment option, we’re not just innovating; we’re providing our citizens with flexibility and freedom in interacting with state services.”
However, Louisiana won’t be handling the cryptocurrency directly. Bead Pay will convert the Bitcoin payments to US Dollars before delivering them to the State. This arrangement shields the State from the volatility of digital currencies, mirroring the way credit or debit card payments are handled, and ensures secure and efficient transactions.
Reducing Fraud with Crypto Payments
Louisiana is integrating cryptocurrency payment options to reduce fraud and enhance transaction security. The move to accept Bitcoin payments is part of a broader initiative to incorporate emerging technologies into public services.
Louisiana State Representative Mark Wright commented on the development, stating, “I have been proud to author several bills related to digital assets and to Chair the State Treasurer’s task force in 2022. I’m excited to see Louisiana further expanding its payment options under Treasurer Fleming. I look forward to working with him and others so that Louisiana will continue to be a leader in accepting digital payments.”
The Louisiana Department of Wildlife and Fisheries was the first state agency to adopt the new Bitcoin payment system, with more departments expected to follow suit.
