Coloradans Can Now Pay For Their Vehicle And License Registration Using Crypto
The State's Division of Motor Vehicles will allow residents to use cryptocurrencies when making online payments.
The Colorado Division of Motor Vehicles (DMV) announced on Thursday that it will be offering support for online payments using cryptocurrencies.
Coloradans will be allowed to choose cryptocurrency as a payment option on the myDMV website for vehicle, identity card, or license registration and renewals.
The agency has partnered with PayPal to enable the crypto settlement feature.
Residents who opt to pay with cryptocurrency will be redirected to the PayPal website, where they can select from one of the six digital assets supported by the payments giant.
The tokens currently available on PayPal are Bitcoin (BTC), Ether (ETH), Litecoin (LTC), Bitcoin Cash (BCH), and dollar-pegged stablecoins PayPal USD (PYUSD) and USD Coin (USDC).
Once users select their desired crypto asset, PayPal will immediately convert the tokens to their subsequent value in dollars that amount to the total, which will then be remitted to the DMV.
The DMV will charge a service fee of $1 plus 1.83% of the payable amount in crypto for availing the service. PayPal will also deduct a platform fee for the transaction, depending on the blockchain used.
In a press statement released on Thursday, Colorado DMV senior director Electra Bustle stated that by implementing the new online crypto payment method, the motor vehicles department was keeping up to its promise of always seeking to provide Coloradans with “innovative” and “convenient” services. She added that the agency is constantly looking for new ways in which it can better serve the people using innovative technologies.
Colorado, America’s Crypto Poster Boy
Colorado is leading the way in the United States when it comes to adopting crypto and blockchain-based technologies. This is no mere coincidence considering that the state is currently under the leadership of pro-crypto and Bitcoin maximalist Governor, Jared Polis.
In March 2022, the centennial state became the first jurisdiction in the country to allow its residents to make tax payments with crypto tokens. Just like the DMV, the Colorado Department of Revenue partnered with PayPal to facilitate digital asset transactions.
During his time as a Representative in the U.S. Congress, Polis was heavily involved in introducing cryptocurrency legislations. He is also one of the founding members of the Congressional Blockchain Causus, which is responsible for educating and creating awareness about cryptocurrencies and blockchain technology among lawmakers to help them design proper legislation surrounding the asset class.
In 2017, the Bitcoin-friendly former congressman introduced a bipartisan bill called the Cryptocurrency Tax Fairness Act that was aimed exempting Americans from paying taxes on crypto payments worth up to $600.
Last year, the Governor made history by becoming the first U.S. politician in history to release commemorative non-fungible tokens (NFTs) in an apparent effort to raise funds for his election campaign.
Apart from filing their tax returns, Coloradans can now pay for DMV services using cryptocurrencies via their PayPal accounts. Customers should note that their payments will only be recieved if sent from a PayPal address. The DMV website does not support other crypto wallets.