Is it legal to pay salary in Bitcoin? State Labor Laws and Cryptocurrency Payments
California law prohibits employers from paying wages that aren’t “payable in cash, on-demand, without discount.” Big fluctuations in the price of Bitcoin and other cryptocurrencies are common, so crypto-compensation could lead to violating state law.
Can I pay my workers in Bitcoin? If you are thinking about paying employees wholly or partly in Bitcoin or another cryptocurrency, you should scope and plan carefully. You will need to ensure that you remain compliant with local laws and tax regimes, and that your workers are still able to access their payment.
Can I ask my employer to pay me in crypto? For example, Labor Code section 212 California requires that wages must be payable without discount. Therefore, any transaction fees that an employee must pay to redeem or access the cryptocurrency would violate this provision.
What companies pay employees in cryptocurrency?
- QuadrigaCX Bitcoin Exchange.
- blockchain.info (proof)
- BitShares (proof)
- dana crowdfunding.
- Fairlay – Prediction market.
- Mastercoin Foundation (public ledger)
- SC5 (blog post)