Polish City Launches Local Stablecoin for Businesses

The city of Mińsk Mazowiecki in Poland, with a population of 37,500, has launched a local stablecoin called MinsCoin for businesses on the UrbanChange platform.

UrbanChange issues stablecoins backed by USDC for use in cities.

The developer is Colu Technologies from Israel. The technical solution was made possible by Circle, Algorand, and Magic, a custodial wallet provider.

In the first phase of the program, users will be able to spend "shopper-friendly" MinsCoin at 10 businesses. The number of participants is expected to "increase significantly" in the future.

“The digital currency could provide insights into how such technologies can impact social interactions, economic participation, and community solidarity,” the statement said.

Colu has developed applications for similar programs in several US cities. Houston residents can earn H-Points, Boston issues Boston Points, and Utica, New York has Halfmoons.

The implementation of UrbanChange in Poland is the first in Europe. The company plans to launch tokens in other European cities, as well as in Jerusalem, Israel.

Individuals can earn local stablecoins by participating in initiatives aimed at achieving a desired social or economic goal.

Cities that want to promote a healthy lifestyle or public transportation can issue tokens for walking or taking the bus, respectively.

According to the project's white paper, whitelisted businesses can accept payment in local stablecoins and interact with other companies with similar status.

The roadmap includes deploying stablecoins on L2 solutions like Base.