Crypto Payroll: Faster, Safer, and More Impactful

Making payments and getting paid in crypto used to be a fantasy. Today, business leaders are warming up to the idea. Some even shout it from the rooftops. 

Paying your team in crypto expands your access to talent and offers more stability to your employees. Not to mention it saves time, margins, and risk. 

It’s okay if it sounds like a dream — we’ll help you make it a reality. Let’s have a look at how entrepreneurs are already expanding their reach using crypto.

Why consider crypto payroll? 

Thanks to the internet, today’s businesses have access to employees around the world. You don’t have to worry if the talent is in your backyard — you can reach into markets across oceans, and leverage favorable currency exchange rates. Or you can hire remote workers who may be digital nomading their way around the globe and prize all aspects of employment flexibility.

But what has that to do with crypto? Everything, my friend. Everything indeed. In many countries, crypto has become the number one currency among individuals and small businesses because it provides stability, quick access to funds, fast remittance, and does not require a bank. 

How to pay employees in crypto? The keyword is “stablecoins.” 

Stablecoins are crypto tokens that are tied to the value of a stable currency or asset. The most popular are tied to either USD, Euro, or gold. As a result, these currencies hold their value with little fluctuation, which is attractive to those traveling the world or living in inflationary markets. They’re like tokens with seatbelts: they move like crypto but won’t throw you out the window when the market hits a bump.

When you use stablecoins as your crypto payment method for employees, both get security. Your business can rely on the market to insure the rate you’ve agreed on with your employee, and your employee can rest assured the value of their paycheck will hold. Not to mention the speed of remittance and decentralized payments (leaving banks in the dust). 

It’s an attractive option for business owners who value democratization, employee perks, and supporting emerging markets.

Crypto payroll solutions: software that slings tokens

Crypto payment solutions are readily available to businesses that want to become decentralized in  2025 or simply leverage crypto for their payroll. They make it easy to pay employees, contractors, and freelancers around the world. Here are some of the systems that will help you pay your team’s salary in stablecoins.

• Bitwage — The name is on the tin. Bitwage is a crypto payroll system that has been around since 2014 and prides itself on providing the widest range of features for businesses who wish to offer salaries in stablecoins.
• Fipto — Fipto specializes in scaling crypto payroll for companies in Europe. The company is based in France and complies with MiCA regulations. It manages multiple currencies, so you can use crypto payment methods for a USDC salary, USDT salary, Bitcoin salary, and ETH salary.
• Remote — This enterprise-level HR and payroll software just launched its stablecoin payroll integration on 17 December 2024. Stablecoin payments are made in collaboration with the popular payment system Stripe and boasts regulation compliance as well as speed. 
• Toku — Toku boasts over 100 jurisdictions in which it can make compliant stablecoin payments. It also manages token vesting schedules and distributions. An added bonus is they offer support for DAOs.
• Rise — Security is at the fore with Rise, which offers both crypto payroll and fiat payroll solutions. The app supports managing contractors around the world, especially crucial for companies that wish to reach into favorable exchange rates.

These software solutions make crypto payroll a breeze. So what should you have in mind when contemplating the switch? 

Pros and cons of paying salaries in crypto

We would be bad drivers if we didn’t break down the pros and cons for you. Here’s what you should weigh when considering if stablecoin payroll is right for your business.

Pros

• Super-fast transactions. Your team and suppliers will receive payments instantly. No more delays from traditional banks! This is especially ideal for international transactions.
• Borderless payments. Crypto is global and doesn’t need to jump through regulatory hoops to reach its recipient. Yet another bonus for businesses working with international suppliers or teams.
• Reduced transaction costs. Traditional middle-man fees from processors or wire transfer systems are cut out of the exchange. That’s music to the ears of startup founders or organizations with tight budgets (including NGOs!). 
• Inflation protection. Stablecoins are tied to, well, stable currencies (like wearing a seatbelt). If your local currency, or that of a team member, experiences inflation, paying salaries in stablecoins will protect the value of their paycheck.
• Financial inclusion. In rising markets or other areas where banks may be sparse or inaccessible, crypto provides access to capital. This means you can access talent that would otherwise be left out of the equation.
• Transparency. Of course, all crypto is traceable, thanks to the public and immutable ledger. This builds trust with suppliers and employees, and helps you remain tax compliant.
• It’s just attractive. Put on your sunglasses, because paying salaries in crypto makes you the cool kid on the block. Even just offering the option of getting paid in crypto to employees is attractive, and shows potential talent you’re ‘with the times.’ 

Cons

• Regulatory uncertainty. Maybe you’re sick of hearing this one. We know, we are. But until the shirts decide how to manage crypto legally, managing payroll in crypto may open your business to some extra hoops to jump through later. We unpack this important consideration in our stablecoin report. 
• Tax responsibility. Paying employees in stablecoins increases the business’ burden of reporting. That’s why we recommend working with one of the software solutions above to automate tracking and report building.
• Crypto wallet security. An employee or supplier needs to know how to set up and protect a crypto wallet in order to receive stablecoin payments. It’s up to you how much support you want to provide around this, but we say leave it to the individual to handle.
• Resistance to change. Employees unfamiliar with crypto may not wish to deal with it. That’s why we recommend making crypto employee payments optional to start.
• Gas fees. Though you won’t have to pay banking fees, you will have to pay gas fees. Stablecoin gas fees tend to remain relatively low, but it’s still something to be aware of.

What businesses should consider offering stablecoin salaries?

You’ve seen how stablecoin payroll works, how to pay employees in crypto, and a short cost/benefit analysis. What businesses, then, would benefit most from offering crypto payroll to employees? Here is what we recommend:

1. Businesses doing work with emerging markets — Our report found that stablecoin adoption is high in emerging markets, especially where inflation is hitting hard. We highly recommend considering offering the option of stablecoin payroll if you are doing business abroad. 
2. Businesses working to remain on the cutting edge — You want to demonstrate to your employees and partners that you are tech-forward and flexible. Crypto payroll is a great way to do it. Don’t forget your sunglasses, cool dude.
3. Businesses with a remote-first team — This overlaps with #1 to some extent, except it benefits you to offer stablecoin payroll when you have teams operating in many different currencies. You’ll have less to juggle, and they can make their own currency decisions.
4. Nonprofits and NGOs — These organizations are often operating where FIAT currencies are weak. Providing stablecoin salaries to those teams can offer greater stability to their finances, leaving them with more focus on their work. Crypto payroll will also reduce transaction costs, saving on those critical margins.
5. Startups — As mentioned above, one of the major pros to using crypto for payroll is the lower fees involved. If you’re already operating with a tight margin, stablecoin salaries may be ideal.
6. Web3 native businesses — Perhaps a no-brainer, yet some projects totally forget that they could be offering salaries in crypto! 

Wrapping up

We’ve covered a lot in this article. You learned that stablecoin payroll is gaining popularity and offers a good deal of flexibility to your business. We reviewed some of the crypto payroll solutions available to you and dug into the pros and cons. Finally, you had a peep at some solid use cases for businesses that would benefit most from offering crypto payroll.

Now you are ready for our comprehensive report on everything you need to know about stablecoins and their financial influence. Read now why and how stablecoins are the most lucrative business onchain.