Lugano has pushed its Plan ₿ initiative into a second phase with Tether, shifting the focus from crypto payments to broader digital infrastructure for the city. Under the new framework, Tether has committed up to 5 million Swiss francs over the next five years to support technical expertise, hardware investments, research, and practical education programs. Governance and oversight will remain fully in the hands of the Lugano Municipality.
Over the last four years, Lugano has built one of the more visible real-world digital asset ecosystems in Europe. More than 400 businesses across the city now accept Bitcoin, Tether’s USDT stablecoin, and Lugano’s own LVGA token for payments. The municipality has also tested digital bond issuance and blockchain-based payment systems for public financial services, with Tether supplying technical and infrastructure support during that process.
Five priorities define the new phase
Phase II is organized around five strategic pillars. The first is SwissLedger, described as an open blockchain infrastructure for Swiss institutions. The second aims to position Lugano as a center for digital trade and commodity transactions, using tools such as tokenization and programmable payments to update commercial activity.
A third pillar is a privacy-focused digital identity system that uses zero-knowledge technology, allowing residents to verify identity on a voluntary and secure basis. The fourth centers on decentralized artificial intelligence and autonomous economic agents. The fifth targets resilient metropolitan infrastructure through distributed networks, decentralized computing, and advanced cybersecurity so city services can keep operating without interruption.
Existing ecosystem already has scale
PoW.space, Lugano’s dedicated blockchain and fintech center, currently hosts more than 100 companies. City officials and project partners present that network as a bridge between traditional finance and decentralized systems. The Plan ₿ Forum has also drawn over 4,000 participants from more than 60 countries, expanding Lugano’s international profile in digital assets and urban infrastructure cooperation.
Tether CEO Paolo Ardoino said the second phase is centered on infrastructure, resilience, and scaling local capabilities while preserving public administration and autonomy. Mayor Michele Foletti said the city’s freedom will increasingly depend on its ability to manage its own data and critical services as 2030 approaches. According to the plan, each initiative will move ahead through pilot programs and compliance reviews.