Bitcoin dialogue at WEF requires ‘open minds’ – Davos 2023

The World Economic Forum (WEF) gathers in Davos annually, and takes over the Swiss ski town. The main promenade is awash with events and companies renting out properties, with a growing presence from companies in the cryptocurrency and blockchain space.

The entrance to the WEF complex is restricted by cement barriers and security personnel, drawing an invisible line between the conference and the rest of Davos. Curiously, the last building on the outskirts of the conference was marked with familiar logos, that of Polygon and the ever-recognizable Bitcoin (BTC) symbol.

Cointelegraph stumbled upon Pietro Poretti while filming the Bitcoin logo at the Tech Lodge booth. Poretti is director of Lugano’s Department of Economic Development. This Swiss city has opened BTC and crypto payments for various municipal accounts to its citizens through the Lugano Plan B project.

Bitcoin was not on the official agenda of WEF 2023. Crypto and blockchain were featured across various workshops throughout the week, but these talks focused more on Web3, metaverse, central bank digital currencies and blockchain payment systems rather than decentralized cryptocurrency adoption.

2023 is the second year Lugano’s Plan B is setting up shop in Davos, as it looks to meet new people, make connections and share its story driving the real world of BTC adoption and use cases. The project has been operating since March 2022, and Poretti says that while it’s in its infancy, it’s about educating and demonstrating the utility of cryptocurrencies:

“It is about promoting crypto payments throughout the city by the city administration. Soon in Lugano you will be able to pay taxes, fines, everything you pay to the municipality.”

Lugano Plan B merchants accept payment in the native LVGA tokens, Bitcoin, Lightning Network payments and Tether (USDT). This year, sharing experiences with other industries, decision-makers and public officials has been a focus. Poretti says payments innovation has been approached in “small but very concrete steps” focused on providing different but complementary payment gateways.

“I think at the end of the day if people see the benefits of having an alternative, it’s not something that will necessarily replace or is going to replace.”

Lugano’s cryptocurrency payment initiative can serve as a concrete case study for the adoption of decentralized payment options worldwide, including at the WEF. That has yet to happen, but representatives from other cities have asked Lugano for the “how and why” of their Plan B initiative, which Poretti describes as progress:

“We think that it is not about duplicating the exact same approach elsewhere in the world, but perhaps it is about taking inspiration directly from what we have done and and learning something from our experience as well. I think that in this respect Lugano is still a bit of a pioneer.”

While the likes of Ripple and Circle were prominent cryptocurrency ecosystem participants involved in WEF workshops, Poretti believes a more open approach will be needed for Lugano to sit at the table to outline their crypto adoption efforts.

Related: TradFi and DeFi come together — Davos 2023

This requires many moving parts, including financial and legal participation and political support for similar initiatives. Perhaps most importantly, Poretti believes that users will drive discourse and adopt solutions like Bitcoin:

“If your citizens are on board and they say ‘let’s try, we’re curious, we’re open’, then when we start to see the benefits.”

Poretti believes this drives job creation, stimulates economic growth and ensures technological and digital adoption.

Bitcoin Suisse was another Swiss-based cryptocurrency industry player that Cointelegraph was able to connect with in Davos. CEO Dirk Klee highlighted the company’s role in founding Crypto Valley and its early work to drive BTC adoption in Switzerland, which has become a leader in worldwide cryptocurrency adoption in many ways.

“I’d call it the world headquarters of wealth management and the early adopters, wouldn’t you? We’re part crypto-natives, but grew into wealthy individuals early on.”

Klee said Switzerland’s reputation as a well-regulated and safe place to do business has also helped the local cryptocurrency ecosystem grow over time, while admitting it’s an ongoing journey.

Highlighting tough market conditions over the past year, Klee suggested the industry is at a point where trust and confidence must be built before considering more participation in events like WEF:

“A lot of trust has been broken and eroded in the last year, and we want to be kind of the centerpiece of the next stage of institutionalization, making the place more accessible, easier to use, but also safer.”

Klee also wants to see the likes of Bitcoin Suisse potentially involved in cryptocurrency workshops in future WEF conferences and described going mainstream as “the ultimate goal.”

The likes of Lugano and various Swiss regions are good examples of the potential for using cryptocurrency for everyday payments. Furthermore, the presence of Plan B and Bitcoin Suisse in Davos proves that the industry is conducting its own conversations with interested parties outside the walls of the World Economic Forum.