Argentina's province Mendoza has allowed its citizens to pay taxes via two stablecoins, USDT and DAI. The Mendoza Tax Administration announced they will accept these crypto coins for online payment.
Many countries and companies have been recognizing cryptocurrency as an authentic source of payment. However, Mendoza is the first province to accept tax payments in stablecoins.
Stablecoin is basically a decentralized cryptocurrency pegged against another asset, for example, a stablecoin pegged with USD is valued at $1. These are the more stable crypto coins in the market.
Tether’s USDT and MakerDAO’s DAI are well-performing stablecoins, having a total market cap of $67B and $6.9B respectively. The taxpayers can use Binance, Ripio, or other wallets to pay taxes.
How to pay taxes via stablecoins?
Once the ATM receives the payment, the taxpayer will receive a receipt of the transaction as proof that they have paid the due amount.
For Argentinian crypto traders who keep most of their wealth or assets in crypto, this is good news because they can finally make use of the stablecoins in daily life situations but only for Mendoza.
Overall, Argentina is one of the leading countries in mass crypto adoption initiated by businesses and the government.