Paying salaries in cryptocurrency is a trend on the rise as many companies have begun paying salaries to their employees in digital currencies. One of the latest companies that have adopted this trend is the Dutch franchise holder of multinational pizza behemoth Domino’s Pizza. They are reportedly offering their employees the option to be paid in the digital coin.
According to Immensus Holding, the franchisee managing the chain of 16 Domino’s Pizza locations in the Netherlands will allow its 1,000+ employees the option to choose between being paid in Euros or Bitcoin for all salaries above the country’s minimum wage.
The co-owner of Immensus, Jonathan Gurevich, said that “We are a modern company, and we work with a lot of young employees.” Gurevich followed up by saying, “We hear them talking about Bitcoin, and we want to offer the opportunity to own cryptocurrency.”
According to the Dutch labor law, every company has to pay a minimum wage to its employees in Euros. In the Netherlands, the minimum monthly wage depends on the age and the number of hours worked by an employee. But in general, a worker aged 15-18 could expect to earn more by working at a pizza chain than required by the local law, meaning they can potentially earn some amount of Bitcoin every month.
Bitcoin Pizza Day
The announcement made by Immensus about offering Bitcoin as a salary to its employees coincides with the 11th anniversary of the first successfully recorded commercial transaction of cryptocurrency for two Papa John’s pizzas – an event known as Bitcoin Pizza Day. More interestingly, this announcement also comes in the same week where Bitcoin and many other cryptocurrencies experienced double-digit percentage crashes.
Talking about companies paying their employees in Bitcoin, the communication manager of BTC Direct, Jerrymie Marcus, said “A monthly Bitcoin salary can be compared to dollar-cost averaging into Bitcoin.” He further added that all the benefits received are the same, and any person does not have to keep themselves up-to-date with the market, as by holding Bitcoin in the long run, they can prevent short and mid-term market volatility. It will benefit the employee, as they will save value automatically in an ever-increasing digital asset, said Jerrymie Marcus.
As for the Bitcoin Pizza Day, it took place way back in 2010 when the pizzas that Laszlo Hanyecz bought from Papa John’s Pizza cost him BTC 10,000. At the current rate of BTC, 10,000 Bitcoins will be worth hundreds of million dollars. But it does not mean that no one is using Bitcoin to pay for products & services now. In fact, many BTC holders are using BTC as a medium of purchase due to the growing uncertainty. It also includes many Bitcoin enthusiasts and pizza lovers. As per some research reports, 36% of small & medium businesses (SMBs) accept Bitcoin payments.
Talking about Pizza & Bitcoin, there is one more interesting thing that happened in May this year. On May 18, Anthony ‘Pomp’ Pompliano, who is well-known for his educational podcasts on crypto, announced the launch of a pizza company aimed at supporting small businesses and the Human Rights Foundation’s Bitcoin Development Fund. However, customers at the Bitcoin Pizza venture could only use crypto cards for payment. Pompliano later cited his reasons for not accepting BTC, saying, “We don’t want people giving up their Bitcoin for pizza, but rather we are working to raise money in the form of depreciating fiat dollars to help fund Bitcoin development.”
Which Other Companies & Organizations are Paying Salaries in Bitcoin?
The trend of accepting cryptocurrencies like Bitcoin is growing rapidly, with thousands of businesses globally joining the bandwagon in droves. It isn’t limited to private businesses alone, as many governmental agencies and sports franchises are also accepting Bitcoin or at least announced their intention to do so. For instance, in February 2021, the City Commission of Miami vowed its support to a resolution that would allow the city employees to accept cryptocurrency as part of their salaries in the future. According to a Twitter post by Francis Suarez, the mayor of Miami city, after receiving support for his proposal from the local officials, the city will procure a suitable vendor that will offer their employees receive a percentage of their salary in Bitcoin.
Sports Franchises are taking the lead too in facilitating Bitcoin payments to their employees, as “The Sacramento Kings” became the first major sports franchise to offer the option of Bitcoin as a payment method to all its players and staff. On April 5, 2021, Vivek Ranadivé, the Chairman, CEO, and Governor of the Sacramento Kings, announced on Clubhouse that all employees in this organization would receive their salaries in as much Bitcoin as they want. Although this move could build up the franchise’s long-lasting claim of being one of the most crypto-forward teams in professional sports; however, the team was unclear at the press meet on how they will facilitate bitcoin payments to players and staff.
Microstrategy Inc., the business software company, has once again ramped up its bet on Bitcoin by paying fees to its board members with BTC. In an SEC filing, the company said that it has changed its policy on compensating non-employee directors. Now, they will be paying all of their fees in Bitcoin rather than cash. Microstrategy’s crypto-friendly initiative is not only limited to paying its directors in cryptocurrencies, as Microstrategy is one of the biggest institutions holding Bitcoin in its treasury. As of now, Microstrategy owns 92,079 Bitcoins.
As Bitcoin continues to grow in popularity and mainstream acceptance, numerous organizations from major organizations, sports franchises, banks, among other companies, are starting to offer services related to Bitcoin, whether it is a custody service, to use as payments, or part of a promotion.