30-5-2025 – Panama City’s Mayor, Mayer Mizrachi, has unveiled an audacious proposal to allow cargo ships traversing the Panama Canal to expedite their passage by paying in Bitcoin. Speaking at the Bitcoin 2025 conference in Las Vegas on 29 May, Mizrachi suggested that vessels could bypass lengthy queues at the vital maritime artery by settling fees in the cryptocurrency, currently valued at $106,015 per Bitcoin. The idea, floated during a panel moderated by Mike Peterson of Bitcoin Beach in El Salvador, alongside the country’s Bitcoin policy architects Max Keiser and Stacy Herbert, underscores Panama’s burgeoning ambition to emulate El Salvador’s pioneering cryptocurrency adoption.
The Panama Canal, an engineering marvel connecting the Caribbean Sea to the Pacific Ocean, is a linchpin of global trade, facilitating the transit of roughly 5% of the world’s maritime commerce annually. In the fiscal year spanning October 2023 to September 2024, nearly 10,000 vessels carried 423 million tons of cargo through its locks, generating approximately $5 billion in revenue for Panama, according to official figures. By offering a Bitcoin-based fast-track option, Mizrachi envisions a fusion of cutting-edge finance with this critical trade conduit, potentially streamlining operations while cementing Panama’s place in the digital economy.
Mizrachi’s vision extends beyond the canal. He has championed Panama City—home to over half of the nation’s economic output—as a potential hub for a municipal Bitcoin reserve, a measure he noted would not require parliamentary approval. This proposal aligns with the city’s recent decision to permit cryptocurrency payments for public services, including taxes, fines, and municipal fees, signalling a broader embrace of digital currencies. Mizrachi has also called for a light-touch approach to regulation, urging Panama’s legislators to refrain from imposing restrictive crypto laws. “Leave it alone, let it thrive,” he declared, advocating for a wait-and-see strategy to assess whether to nurture or regulate the burgeoning sector. He revealed that Bitcoin transactions in Panama already exceed $5 billion annually, though much of this activity remains discreet due to public hesitancy.
The mayor’s forward-thinking proposals come amid heightened scrutiny of the Panama Canal, following US President-elect Donald Trump’s December 2024 pledge to reassert American control over the waterway. Citing concerns over escalating Chinese influence and allegedly unfair tolls on US vessels, Trump’s remarks have reignited debate over the canal’s geopolitical significance. Meanwhile, Panama grapples with domestic challenges, including a state of emergency in Bocas del Toro province, where Chiquita Brands, a major banana exporter, laid off over 5,000 workers protesting for enhanced social security protections. The company reported losses exceeding $75 million due to strike-related disruptions, highlighting the nation’s complex socio-economic landscape.
