Tether, the company responsible for tether.to, the platform that powers the widely used stablecoin, has announced a partnership with 3Achain, led by Lugano, to support the growth of the city’s blockchain infrastructure.
Lugano is notable for being among the first cities globally to introduce its stablecoin called Luga (LVGA). As part of this, Tether is now overseeing a validator node for 3Achain, the endorsed blockchain of Lugano and the infrastructure for LVGA.
3Achain is a collaboration involving public, private, and academic partners, focused on integrating security, scalability, and decentralization into Lugano’s blockchain framework. Tether will play a role in nurturing the expansion of Lugano’s blockchain infrastructure, which is essential for local businesses and the city’s stablecoin.
Lugano and Tether are working together through the Plan ₿ initiative to promote the adoption of blockchain technology as part of the city’s financial infrastructure transformation. Beyond enabling Bitcoin and Tether transactions at local businesses and upcoming municipal payments, Lugano has introduced its digital currency, the LVGA token, for official transactions. The decision to oversee a validator node for 3Achain is a progression of the Memorandum of Understanding signed by Lugano and Tether in March 2022.
Paolo Ardoino, the Chief Technical Officer (CTO) of Tether, expressed that collaborating with 3Achain will enable Lugano to expand as a central hub for Bitcoin and blockchain activities in the area. This growth will be supported by essential scalability and stability factors. Ardoino also advised other cities to take inspiration from Lugano’s administration, which is actively shaping the city’s future through its forward-thinking approach.
About Plan ₿
Lugano’s Plan ₿, a collaboration between the City of Lugano and Tether, aims to accelerate the use of Bitcoin technology to transform the city’s financial infrastructure. This strategy seeks to integrate blockchain and Bitcoin across the city, impacting various aspects of daily life for Lugano’s residents, from transactions with local merchants to larger tasks like tax payments.
In an article we published in January 2023 we detailed the Lugano project. We found out that The essence of Plan ₿ lies in establishing a user-friendly blockchain infrastructure to facilitate cryptocurrency payments across all tiers of the city, ranging from small to large businesses and public services. In mid-September, the Plan ₿ Foundation, a collaborative effort between the City of Lugano and Tether, announced its partnership with GoCrypto to officially introduce Bitcoin, Tether, and LVGA payments to Lugano.
This move is expected to attract both local and international visitors, drawing crypto investors and innovative projects. Local merchants will tap into a vast customer base of over 300 million global crypto users.
Distinguishing itself from other crypto-friendly zones in Switzerland, Lugano aspires to achieve heightened crypto adoption among its residents. The city aims to educate students and workers about cryptocurrencies, promoting their practical usage beyond investments. This strategy, often seen as an alternative to the current financial system, not only aligns with the latest global trend but also aims to attract fresh customers, tourists, and innovative business concepts. Lugano’s intention is to empower citizens and like-minded visitors to explore new opportunities in this ever-evolving landscape.