In a bold move to solidify its position as a global leader in digital infrastructure, the City of Lugano and Tether have unveiled Plan ₿ Phase II (2026-2030). This ambitious initiative builds on the success of the initial Plan ₿, which transformed Lugano into a European hub for digital asset adoption and decentralized technologies.
Since its launch in 2022, Lugano has seen significant progress, with over 400 local merchants now accepting Bitcoin, Tether’s USDT stablecoin, and the city’s own LVGA token. The city has also experimented with digital bond issuance and blockchain-based payments, integrating these decentralized systems into public finance.
Expanding the Digital Horizon
Plan ₿ Phase II is structured around five strategic pillars, each designed to enhance Lugano’s digital sovereignty and resilience. The first pillar focuses on developing institutional infrastructure for digital assets, with the creation of SwissLedger, an open blockchain for banks and enterprises. This move aims to streamline financial processes and ensure greater transparency and security.
The second pillar positions Lugano as a hub for digital trade and commodities. By leveraging tokenization and programmable payments, the city aims to modernize trade flows and attract international trade. This could significantly boost the local economy and establish Lugano as a key player in the global digital trade landscape.
Privacy, Identity, and Decentralized AI
The third pillar addresses privacy-preserving digital identity through zero-knowledge technologies. This will enable voluntary and secure verification of citizens, businesses, and autonomous agents, ensuring that personal data remains protected while facilitating seamless transactions.
The fourth pillar emphasizes the development of decentralized artificial intelligence and autonomous economic agents. By integrating these technologies into public services and programmable transactions, Lugano aims to create an integrated ecosystem that enhances efficiency and transparency in governance.
Resilient Urban Digital Infrastructure
The fifth and final pillar focuses on establishing resilient urban digital infrastructure. This includes the creation of distributed networks, decentralized computing, and advanced cybersecurity systems to ensure the operational continuity of critical services. This is crucial in an era where digital attacks and disruptions pose significant threats to urban environments.
Collaborative Efforts and Financial Commitment
Tether has committed up to CHF 5 million ($6.3 million) over the next five years to support Plan ₿ Phase II. This funding will primarily be used for expertise, infrastructure development, research, and applied training. Governance and oversight will remain with the City of Lugano, ensuring public accountability and risk management.
Paolo Ardoino, Tether’s CEO, emphasized the importance of infrastructure, resilience, and local capacity building in Phase II. “Our goal is to support Lugano in becoming a globally relevant digital infrastructure hub while preserving public governance and autonomy,” he stated.
Mayor Michele Foletti added, “By 2030, a city’s freedom will increasingly depend on its ability to govern its data and essential services. Plan ₿ Phase II invests in open, resilient civic digital infrastructure that safeguards public interest.”
Looking to the Future
As Lugano continues to push the boundaries of digital innovation, Plan ₿ Phase II sets a precedent for other cities and regions looking to embrace decentralized technologies. The initiative’s focus on digital sovereignty, resilience, and public governance could serve as a blueprint for a more inclusive and secure digital future.
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