Starting from Nov. 26, the state of Ohio will start accepting Bitcoin in settlement of 23 kinds of business taxes. If this happens, the state will become the first in United States and one of the governments in the world to accept cryptocurrency.
Before now, many have not believed that Bitcoin would become suitable means for conducting payments, rather, they only see it as a store of value. At the extreme, many have critisised Bitcoin as being “slow and costly”.
Nevertheless, the moves by the Ohio Treasurer’s Office have proved these critics wrong. With the help of the BitPay payment service, the state now accepts Bitcoin as a means of paying state taxes.
The Ohio Treasurer’s website states that 23 kinds of taxes including: utility tax, sales tax, and employee withholding can now be paid using cryptos. According to the website the reason for this move by the state is because crypto payments are secure, transparent, and low cost:
“Cryptocurrencies cannot be transferred to third parties without user initiation, thereby practically eliminating fraud; Anyone can view all transactions on the blockchain network; Payments on the blockchain can be tracked on a second-by-second basis; a minimal fee is charged to confirm transactions on the blockchain network.”
Bitcoin will not be the only payment option but more cryptocurrencies will be added to in the future stated the website. This means that while accepting Bitcoin as means of payment, room will also be made to accept the likes Ethereum, BitcoinCash and other Altcoins as means of payment.
Adoption of Bitcoin as a form of tax payment by the state of Ohio is just one of the many things to come. The use of Bitcoin and other cryptocurrencies will continue to increase providing us with the opportunity of making our day-to-day business activities more secure, transparent and efficient.
Which other state will likely be in line to start accepting bitcoin as a means of payment. Once Ohio is able to implement using bitcoin as form of tax payment, we hope other states follow suit.