Miami has shared plans to debut the cryptocurrency this summer to help raise additional funding for local projects.
The city of Miami, Florida, announced the upcoming launch of its own cryptocurrency in August. City officials say the coin will help boost revenues and expand the local economy. According to a Newsweek report, Miami Mayor Francis Suarez stated that “Miami could end up making millions of dollars as a result of the popularity of MiamiCoin ($MIA) because apparently Miami has now become the Bitcoin Capital of the World.”
Miami will use a new service called "citycoin»To launch MiamiCoin. The service is designed to allow cities to create customized digital coins to raise funds for local projects.
CityCoin Offers Fundraising Options For Municipalities
According to the Miami Herald, up to 30% of the funds raised through the new digital asset will be used to pay for new urban initiatives. The report says the Mayor of Suarez submitted a resolution last week allowing the city to explore accepting donations through a new crypto project called CityCoin. The initiative allows local municipalities to raise funds by creating tokens specific to their city. The goal is to fund urban projects with funds from fans or city residents who wish to participate and support MiamiCoin. Currently, state and federal laws prohibit cities from accepting or storing any currency other than the dollar, so funds will be converted before transferring to Miami.
Miami CIO Michael Sarasti said the money could be used for "roads, parks, region resilience," adding that "the idea is that [MiamiCoin users] are investing in the quality of the city's future." Sarasti adds that the funds must be used because the CityCoin protocol states that the allocated 30% cannot be used for other purposes.
While the mayor's decision was unanimous, reports show many commissioners are unsure if CityCoin can be trusted to hold on to its side of the deal. CityCoin founder Patrick Stanley allay these concerns by reminding officials that software exists to automatically transfer digital currency to the city in the form of US dollars.
The $MIA launch is scheduled for August 3rd and will be the first CityCoin project to hit the market. So far, San Francisco is the only other city that has confirmed the subscription, but there is no word yet on when the $SF will be released.