After Miami has had its own City Coin for a few months, New York will soon follow suit. But what exactly is a City Coin and how does it enable citizens to earn unconditional BTC income?
At the end of July 2021, the Mayor of Miami, Francis Suarez, introduced the world’s first City Coin in his city. MiamiCoin is based on the principle of City Coins, which in turn is based on stacks. The Stacks ecosystem is made up of independent companies, developers, and community members working to build a user-controlled internet on BTC. The special thing about stacks is that it enables the use of smart contracts on BTC for the first time. Learn more about stacks here.
A few months later, on November 5th, the new mayor of New York City, Eric Adams, announced that he would also like to publish a city-specific cryptocurrency for his citizens. Both Miami and New York are hoping for a new source of income through the City Coins.
What is a city coin?
In essence, City Coins are cryptocurrencies that allow people all over the world to invest in a city by buying a token.
City Coins are programmable tokens that can be mined. In addition, you can stake a City Coin via the Stacks (STX) platform and receive BTC and STX dividends in return. Those who participate in the mining of a city coin earn 70 percent of the newly mined tokens, while 30 percent are reserved for the wallet of the respective city. Each city can decide at its own discretion to claim the funds in this wallet.
Miami wants to use the generated income for investments in public facilities, infrastructure, urban events or the support of start-ups.
Unconditional BTC Income
Francis Suarez did an interview with CoinDesk announced that he envisions that the revenue generated by City Coins could at some point relieve all of its citizens from the need to pay taxes.