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Panama City’s Mayor Mayer Mizrachi advocates for Bitcoin adoption, proposing BTC payments for Panama Canal fare.
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Mizrachi highlights his city’s role in setting a Bitcoin adoption roadmap, despite national hurdles.
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He acknowledges the need for regional DeFi ecosystems to drive Panama’s crypto future, taking inspiration from El Salvador.
Mayer Mizrachi, Mayor of Panama City, is pushing for Bitcoin payment options in key sectors, including the Panama Canal, aiming for regional crypto leadership.
Mizrachi Brings Bitcoin to Panama
Over the past few years, Panama has made several attempts to reform its Bitcoin policies, but these efforts repeatedly stalled out. However, Mayer Mizrachi, the mayor of Panama City, has been attempting to innovate once again. Much like El Salvador, Panama is a nation that uses the US dollar as its legal tender. Mizrachi detailed a new approach to changing that:
“What we created was a roadmap for how cities can embrace Bitcoin regardless of national law. You can build the building blocks, so the central government can copy what you’re doing after it’s proven. 70% of [Panama’s] GDP is in my city. Whatever my city does, it makes waves around the country,” Mizrachi claimed.
Mizrachi talked about his initial plan to accept Bitcoin for municipal tax payments. In some ways, this strategy had major limits, as the city was required to exchange all this BTC for USD. This has been a springboard for Panama’s largest banks needing to deal in Bitcoin.
He stated that already, Mizrachi has advised other mayors in the region how they can start similar initiatives, making this project an easy way to transform Panama’s entire Bitcoin ecosystem from the limitations of one mayor’s office.
Still, Mizrachi acknowledged that comprehensive adoption will require much more political buy-in. He commented that BTC could hypothetically be used to accept fare payments through the Panama Canal, but the US might object to this plan.
In other words, Panama’s BTC integration relies on one key factor: an active DeFi ecosystem. Mizrachi praised Nayib Bukele, who transformed El Salvador into one of the world’s largest Bitcoin holders.
Panama could also begin accumulating a Bitcoin Strategic Reserve, but more importantly, it must build connections with other regional crypto supporters.
That is to say, Panama City’s mayor doesn’t have the power to change Bitcoin’s position on his own. However, Mizrachi sees his work as proof of concept.
He detailed the economic opportunities that crypto can bring to Central America and reminded us that a better future is possible. Dedicated advocates can create powerful change with smaller actions.
Conclusion
In summary, Mayer Mizrachi’s efforts to advocate for Bitcoin in Panama City signify a proactive step towards greater cryptocurrency adoption in the region. With ongoing support for Bitcoin initiatives and collaboration with other cities, Panama could potentially become a leader in the crypto space, demonstrating the positive impact that local governance can have on national policies.
