Cryptocurrencies: Are They Going To Revolutionize Job Payments?

The positives and the negatives

Cryptocurrencies. We all know what they are—digital money that can make us earn a lot or lose even more. As Zety’s study proves, 99% know what cryptocurrencies are, most often pointing to Bitcoin (97%) and Ethereum (86%). People are also familiar with NFTs, 90% know what non-fungible tokens are.

We are already used to news about Bitcoin's big drops, celebrities bragging about their investments, or people creating personalized cryptocurrencies. So now it is time for a new trend. Namely, receiving a monthly salary or bonus through digital coins. Sounds ridiculous? Maybe not so much.

But let's not get ahead of the facts and explore the topic of cryptocurrency payments from the beginning.

Attitude to Crypto Salary

As you already learned by seeing some stats, we can’t deny that crypto is popular. People don’t just follow the market, they actively engage in investing or trading. So it’s safe to assume that the trend of getting paid in crypto has captured their interest. 

The research respondents were pretty open to receiving salaries and bonuses in cryptocurrencies. 57% rated the idea as good, while 16% believed it was very good. Overall, this gives us 73% of respondents in favor of crypto salary. And when diving deeper it appears that:
 

• 40% would prefer to be paid both in standard currency and crypto.
• 21% would like to receive all payments from their employer in crypto.

Of course, they are also those more skeptical. 8% of respondents believe getting paid in crypto is a bad idea. 17% have a neutral attitude.

Do these numbers imply any practical experience–good or bad? Well, 75% of survey takers claimed that they received a salary or bonus in digital coins at least once. The number is surprisingly high, isn't it? Here, due to some survey limitations and the impossibility of being specific about how the process went, it is reasonable to assume that respondents may not receive a direct crypto transfer from employers. It’s quite likely they converted their salary, or a portion of it, into crypto after getting paid. 

Nevertheless, as it turns out, this decision has worked out well for them. 98% of those who decided to be paid in crypto observed an increase in their coins’ value. That said, this data was gathered in April 2022, before the worst of this year’s bear market kicked in. Their answers may be very different now.

Do employers and HR departments have something to say about the subject? Are they looking forward to a wider implementation of cryptocurrency payout options? Or are they more concerned about this trend? If asked, they would certainly point out the many disadvantages of getting paid in crypto. However, we’ll present both the positives and the negatives.

Bright and Dark Sides

To make the skeptics happy, let’s start with the cons. According to the respondents, the top five crypto salary disadvantages are:
 

• unstable crypto rates
• vulnerability to hacking attacks
• complexity of tax regulations
• lack of personal knowledge of crypto
• no fraud protection

The list continues. We can add many other crypto disadvantages to it, depending on our knowledge of the market and previous experience.

But crypto is not only an evil creation. Digital coins also entail many advantages, which were also seen by respondents: 
 

• investment opportunities
• transactions speed
• international transactions done without fees
• bypassing the bank
• trending subject

And similarly, as with disadvantages, we can go on and on and on here. 

All things considered, it’s up to the employee to decide whether cryptocurrencies replace their standard paycheck or money transfer. However, it’s ultimately up to employers, as well as HR and finance departments to offer workers such an option. Should employers consider this option?

Crypto Employee Benefits

Indeed, the possibility of paying in cryptocurrencies could be considered by employers as an employee benefit. For some, it may even be more attractive than dental insurance or free lunches. Actually, the idea of offering staff salary or bonuses in crypto, makes employers more innovative, open to changes, and therefore more attractive to the best talent. 

Again, Zety provides some stats here. 74% of workers would like to work for an employer paying a monthly salary in crypto. Similarly, 71% would appreciate it if the company paid bonuses in digital coins. 

Being paid in crypto is likely to succeed only as an additional benefit using which the employer can increase employee satisfaction or attract new talent. Probably no employer has yet thought of offering employees a crypto-only paycheck. And if you have, drop the idea. 69% of respondents, when asked if they would quit if their employer started to offer a salary ONLY in crypto, said yes. 

So, this crypto trend won’t overtake traditional compensation, or at least not in the next few years. 

However, with the rise of Web 3.0, the consolidation of cryptocurrencies, the emergence of legal regulations, and better protection of traders, this may change. Already 86% of respondents admit they’d be fond of being paid in crypto if the proper legal and tax regulations were created. 

But now, let’s sit tight and see what the future will bring. 

Nina Pączka is a career advisor and job search expert at Zety. She offers professional expertise to everyone wanted to gain insight into the job market. Her professional advice and guidance help people find a satisfying jobs and pursue a career. Nina’s mission is to support jobseekers in their path leading to finding a perfect job. Connect Nina Pączka