Almost no one in Colorado pays taxes with the crypto

Only 0.0005% of the $ 11 billion received in income tax in Colorado since 2022, just over $ 57,000, was paid using crypto.

The state of Colorado began to accept tax payments based on crypto in September 2022, under a policy presented by Governor Jared Polis.

Again figures shared with Colorado Newsline By the Colorado Department of Return reveals that only eight payments using the crypto were made in 2022, a total of $ 16,426.

This reached 22 payments and a total of $ 23,241 in 2023, before decreasing again in 2024 to $ 17,544, although 48 payments.

“Colorado was the first state to innovate and accept cryptocurrency as payment of state taxes under the direction of Governor Jared Polis,” said Elizabeth Kosar, Director of Communications at Colorado Department of Return, Colorado Newsline.

Kosar also said that, strictly speaking, Colorado does not really receive crypto, taxpayers using the Paypal cryptocurrency center to convert their digital assets into US dollars to the payment point.

This information can potentially undermine any notion that the use of cryptocurrency for payments is important in the United States, although Research on property suggests that 20% of American voters have owned or used cryptography at some point.

And supporters of Bitcoin are not surprised only very few residents of Coloradan took the opportunity to use Crypto to pay taxes, given that established tokens such as Bitcoin Serve more value reserves than exchange media.

“As Michael Saylor says, the only Bitcoin rule, is never to sell (or spend) your bitcoin,” said Lou Kerner, founder of the web event community live cryptomondays, said Decipher.

Since September 2022, the Bitcoin price has increased by around 320%, the cryptocurrency also recorded positive annual yields in September 2023 (30%) and September 2024 (125%).

Utah is currently the only other American state in Accept cryptocurrency payments for tax purposesAlthough Louisiana accepts crypto as payment for various services and fines.

The city of Detroit will also begin to accept the payments of digital assets for tax from the middle of this year, using the same Paypal conversion service in the operation of Colorado and UTAH (while Louisiana exploits the remuneration of pearls).

Given that The property of cryptocurrency has increased worldwide In recent years, we can expect more states and more nations to have started to accept tax payments via the crypto.

However, commentators such as Kerner are skeptical of a significant percentage of tax payments based on cryptography, will never involve value store tokens such as Bitcoin.

“Over time, the stablecoins will emerge as the main way that people are transient,” he said. “It’s just more effective for everyone.”