The Bitcoin boom and bust cycle are in full effect. If you haven’t heard of Bitcoin by now, you haven’t been on the internet. The digital currency’s valuation swings by thousands of dollars, creating millionaires and destroying them overnight.
It’s not surprising then that many people don’t think of Bitcoin as a viable currency. Would you accept such a volatile currency as payment for a job? Probably not, right? The answer is, surprisingly, not that simple.
Paying workers, especially remote workers, in digital currency does have some benefits to go along with all the drawbacks. Today, we’re taking a look at the hows and whys of paying remote workers with the digital currency.
The Benefits
When it comes to paying remote workers, the digital currency has several benefits over traditional currency. Let’s break down why you might want to consider going digital.
- You’re paying overseas, and it’s easier to use a currency that avoids banks.
- Your workers are interested in Bitcoin. They want to play the market and potentially, exponentially increase their salary.
- Your workers are interested in avoiding taxes (this is illegal).
- You have employees who understand cryptocurrency enough to implement a payment system.
While there are real benefits of paying remote workers in digital currency, the process isn’t so straightforward.
Making the switch to digital currency takes an entire team of crypto experts; not to mention partially abandoning your current bank-based payment system.
You’ll only want to make the switch if you’re sure your employees will embrace Bitcoin. Otherwise, you’re looking at a significant waste of time, resources, and capital.
The Drawbacks
Paying remote workers in digital currency has some real, worrying drawbacks. Let’s take a look:
- The currency is volatile. Any digital currency could crash at any moment and leave workers with essentially nothing.
- Many remote workers don’t understand cryptocurrency. You won’t find many graphic designers who understand a Bitcoin wallet.
- It makes your accounting more difficult. Most accountants don’t understand the bitcoin’s nuances.
The above drawbacks to cryptocurrency are essentially the opposite of the benefits. The problem being, you’re probably more likely to find people who view crypto as a drawback.
If you decide crypto isn’t for your business, you can always manage your remote workers’ pay using an online pay stub generator. There’s nothing wrong with traditional currency.
Staying Informed on Digital Currency and More
So there you have it; the hows and whys of using digital currency to pay remote workers. Like most things, what works for your business will depend on your unique set of circumstances. Who knows, maybe you’ll decide that crypto is your new payment method of choice.
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