COLUMBUS - Ohio businesses now can pay their taxes with check, money order and ... bitcoin.

On Monday, Ohio became the first state in the nation to accept the cryptocurrency, bitcoin, for 23 different business taxes ranging from sales tax to severance taxes on oil and gas.

Here's how it works: a business signs up through OhioCrypto.com, enters their tax payment information then pays through a third-party processor, BitPay. BitPay then converts the bitcoin into dollars that are deposited into the state's accounts. There is a minimal fee, 1 percent, for the transaction compared with 2.5 percent assessed when businesses use credit cards.

Bitcoin, basically cash for the Internet, was first published in 2009. Transactions using the currency are recorded in a blockchain, a publicly-viewable ledger that cannot be erased. One bitcoin is worth between $3,900 and $4,100.

Currently, Ohio is accepting one cryptocurrency, bitcoin, and payments are limited to businesses for now. Individuals cannot pay their taxes with bitcoin yet.

Ohio Treasurer Josh Mandel sees accepting cryptocurrency as one way of attracting technologically savvy businesses to Ohio.

"It’s important for Ohio to plant the flag as a national leader in blockchain technology," Mandel said in an interview.

It's not clear how many businesses will decide to pay their taxes using bitcoin, but Mandel said he's had positive feedback from small- to medium-sized privately owned companies about the option.

Mandel will soon leave the treasurer's office. He has discussed the cryptocurrency plan with his recently elected successor, Republican Rep. Robert Sprague.

Mandel was running to replace U.S. Sen. Sherrod Brown, but Mandel dropped out of that rematch in January 2018, citing concerns with his wife's health. Brown ultimately defeated Republican U.S. Rep. Jim Renacci earlier this month.

Mandel would not say Monday what his next plans were.