Philadelphia collaborating with CityCoins to enhance treasury

• The city of Philadelphia is excited about the prospect of partnering with CityCoins to use cryptocurrencies to help enhance its treasury.

• Wheeler addressed the environmental issue of implementing software that uses a Proof-of-Work blockchain, such as Bitcoin.

• By teaming with CityCoins to establish crypto for the city of Brotherly Love, Philadelphia is on the point of following in the footsteps of Miami, Austin, and New York City.

Mayor Jim Kenney of Philadelphia has welcomed the idea, telling the government news site Statescoop that his administration is “excited about the prospect of donations from a CityCoins program to address real problems in the city.”

“Philly is ready”

In a tweet on Jan. 31, Philly’s Chief Information Officer  Mark Wheeler stated that “Philly is ready” to collaborate with CityCoins.

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CityCoins is a software program built on the Stacks (STX) blockchain that assists local administrations in developing their own currencies. Stacks transactions are settled on the Bitcoin network.

New York City and Miami are already using CityCoins to increase their treasury reserves. Thirty percent of STX tokens mined are given to the city’s wallet and subsequently sold for USD, with the proceeds going straight into the local treasury. The rest is kept by miners.

Wheeler stated in a Feb. 1 interview that the city will begin formally reviewing CityCoins to verify that any possible collaboration they embark into jointly conforms with existing cryptocurrency rules.

Blockchain technology and bitcoin mining

Wheeler addressed the environmental issue of implementing software that uses a Proof-of-Work blockchain, such as Bitcoin. He emphasized that CityCoins do not necessitate the use of any additional technology, which may cause significant environmental damage. On February 1, he told Statescoop:

“I think we can simply say, ‘This isn’t Bitcoin, and it doesn’t necessitate the installation of new servers or the consumption of a lot of energy. That, I believe, is a true and verifiable claim.”

Wheeler stated in November that the city of Philadelphia will attempt to incorporate blockchain technology into its governance. He was inspired to launch the effort by the city of Miami.

Miami introduced its MiamiCoin with CityCoins last August to assist the city in raising revenue, which Mayor Francis Suarez stated might be used to offset the city’s tax burden for all people.

Last November, New York City launched the NYCCoin in collaboration with CityCoins. Miners for NYCCoin, like those for MiamiCoin, are rewarded with STX and BTC in exchange for supplying the city with tokens.

Austin, Texas has also partnered with CityCoins, but mining has yet to begin.