Switzerland's Lugano Gears Up To Become Europe's Bitcoin Capital

Lugano, Switzerland's ninth-largest city, is aiming to become Europe's Bitcoin's capital in partnership with Tether, the widely adopted stablecoin.

Even as big economies keep cryptocurrency at arm's length, the digital assets have found huge fans in smaller countries. After El Salvador's pathbreaking decision to make Bitcoin legal tender last year, top players have shown an evident inclination toward crypto adoption.

In the U.S., Miami and New York are in the race for the 'crypto capital' title. The southern Swiss city wants to take the lead in Europe, building on the country's reputation as a haven for blockchain-based startups.

"#bitcoin and stablecoins are revolutionizing the financial sector. #tether and The City of Lugano__ @luganomycity are teaming up to transform Lugano into the European #bitcoin capital," Tether wrote on Twitter Monday.

Lugano, the largest city in the Italian-speaking southern Switzerland, and Tether will hold a press conference in the beginning of March to announce their plans.

Lugano declared its crypto-friendly stance in November last year by launching its own blockchain based on a Proof-of-Authority algorithm linked to Ethereum.

Amid heated debates on the adoption of crypto, cities are vying with each other for investment. A new report highlighted that Miami can become the next Silicon Valley for crypto. According to the Venture Capital firm Telstra Venture's analysis, the city saw a financing rush of venture capitalists piling into blockchain startups last year, with investments in the sector skyrocketing a whopping 2,061% in 2021.