The CEO of financial services firm TallyMoney, Cameron Parry, has announced that the company will be offering employees salary payments in gold, with other companies offering cryptocurrency as an alternative to traditional (fiat) currencies such as the pound.
In terms of the legal and practical implications, employers are required to pay employees net of tax via PAYE and so these sums will need to be calculated and deducted prior to payment. Net salary can then be exchanged for gold (or cryptocurrency).
Uptake for crypto salaries has seen big headlines in the US where New York City mayor Eric Adams vowed to take his first three salary payments in a mix of Bitcoin and Ether. Miami’s mayor also reportedly receives 100% of his salary in Bitcoin.
At TallyMoney, Parry sets out that with the rise of inflation and the cost of living, payment in gold offers a more stable alternative.
Clearly, cryptocurrency’s instability remains a risk for normal people; however, it is interesting that in the absence of adequate state support, swapping fiat currency for crypto (or gold) is seen as a means of adapting to the ongoing cost of living crisis.