Argentina among top countries to pay employees in crypto

What

Argentina has a higher proportion of employees getting paid in cryptocurrency than anywhere else, according to Deel, a payroll company that operates in 150 countries

Why

Workers are increasingly getting paid in cryptocurrency to circumvent exchange controls and to protect them from currency swings and 50% inflation 

What next

As part of an agreement with the IMF, the Argentinian government is attempting to discourage this use of cryptocurrencies to try and prevent money laundering

The Story

According to data from remote working platform Deel, Argentina has been revealed to have a higher proportion of employees paid in cryptocurrency than anywhere else.

This is driven by a local law that allows companies to pay as much as 20% of remuneration with cryptocurrency and has allowed workers to circumvent exchange controls and protect themselves from currency swings and 50% inflation.

As a result, the number of companies paying salaries in digital currency has soared by 340% over the last 12 months according to Buenbit, an Argentine crypto exchange.

As part of a $45 billion agreement with the international monetary fund (IMF), the central bank has warned Argentinian citizens about the risks associated with digital assets to discourage their use.

To read more about cryptocurrencies, visit our learning resource here.

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