Getting paid in Crypto: Legit?

Are you hearing that techno buzz around cryptocurrency payroll? Even Twitter jumped on the bandwagon!

Cryptocurrency Payroll

You might have heard employees getting paid in crypto. Unless you’re a crypto enthusiast, you wouldn’t really be sure what to feel about it. Is getting paid in crypto really worth it? Let’s get into it.

So, what’s crypto payroll?

Simply, the total amount of wages to be paid in the form of cryptocurrency is regarded as crypto payroll. Companies usually pay in the form of the national currency, such as dollars, or sometimes in the form of assets such as rights to their stocks. But getting paid your monthly or even weekly salary in crypto is the new kid around the digital finance block.

Cryptocurrency has been soaring since the start of 2021 with Bitcoin, Ethetreum, and even Solana reaching new records.

With its soaring values, mostly used in investing, companies thought, “Why not just offer employees payment in crypto?”

Twitter even went on to incorporate crypto in their new “Tips” functions as well, allowing users to be paid in crypto. Because why not? It’s the fastest, most secure, and cheapest way of accessing money in the 21st century!

Is it legal?

Arguably, yes. Crypto remains in the grey area of legality for many countries. Yet, the frontrunner of cryptocurrencies such as the US, the UK, Australia, and Japan have already embraced crypto as property and forms of payments.

With the IRS’s keen interest in crypto, several notices regarding taxes on virtual currencies can be found. El Salvador even hit a green light in recognizing crypto as a legal tender back in June 2021.

Then again, China and India have restrictions on bitcoins. It all depends upon your national laws. If you’re considering paying/getting paid in crypto, it is advised to see the country-specific laws first.

Benefits for Employees

1. A portion of their pay is received in digital assets: The fastest way to invest in a crypto is getting paid in crypto itself. Once you have access to stablecoins, you are free to start your investing journey in the crypto world. Talk about a diverse portfolio!
2. Faster and securer: With crypto payrolls, the middle institutions like the big banks are out of the equation. The payment is made directly from your employer to you. Thus, each transaction is transparent, without having to wait for authentication from banks and other intermediaries. All these transactions are easy to trace and stored in the bitcoin network, almost impossible to be intercepted by hackers.
3. More access to your own money: Another advantage of having no centralized institutions is employees having complete control of their payments. Softwares such as Zebec Pay even offer crypto payrolls that pay employees per second and allow the receiver to use it at their own will! No more waiting weeks just to get paid!
4. Hassle-free: International employees often go through the hassle of resorting to international banks with heavy fees and lucrative tax systems for their international payments. Crypto payroll however offers international workers, wanting digital assets, directly into their invoices without hassle.
5. Crypto IRA & 401k Accounts: Your retirement plans will thank you for your current interest in crypto. In fact, it not only diversify your portfolio but has higher returns even with the smallest investments. If you’re thinking of retiring comfortably, crypto might just give you the getaway.

Benefits for Employers

Crypto payroll software such as Gilded Mass Pay and Bitwage allows the handling of a massive number of employees for crypto payroll systems. But what could it possibly mean for employers?

1. No border fees: Companies with a global workforce tend to benefit the most from crypto payroll. Paying in crypto does not require those pesky high over-the-border charges. In fact, the transaction fees become extremely cheap no matter the number of employees ranging from your local meat shop to Meta.
2. Embraces DeFi technology: If your company already embraces a highly technical environment, crypto payrolls will only better everyone’s time there. The Defi technology enhances the current system, making payments faster and more secure. Retaining employees is already difficult in this economic climate. Thus, crypto payrolls reflect a highly innovative state of the company. Companies who listen to their employees are FTW so why not offer unique digital benefits to them?

The Volatility Issue

Adopting stablecoins in your payrolls can be legendary but the ups and downs cannot be accounted for. Crypto is often associated with its high volatility which companies often shy away from. However, crypto payroll software like Zebec Pay is now thinking far ahead.

Zebec Pay is Zebec’s first application, a low-fee, payroll solution that enables employees to be paid by the second — in USDC or other stablecoins — and immediately use their money.

Currently, Zebec Pay is the only real-time, by-the-second dollar-cost averaging investing mechanism available anywhere. Users automatically convert a percentage of their paycheck into top cryptocurrencies. Its Automated Dollar-Cost Averaging services reduce risks involved in crypto investments and make them highly profitable, thus, solving the volatility issue.

The Takeaway

Cryptocurrencies have all areas of investments and payments by the chokehold. Crypto payroll thus is not far from being adopted into major tech companies and slowly into other areas. Its major advantages for both employees and employers definitely make it a legit deal!