Dubai approves bitcoin for salary payment

[Mame89]

This news is not surprising anymore since it has been noted that Dubai has been bitcoin friendly and has been accommodating bitcoin transactions like in shopping malls, hotel bookings and even in car rentals, thus bitcoin as a payment salary has already been set to happen considering bitcoin or cryptocurrency is never a threat to their own jurisdiction but establishing itself as a crypto-friendly instead.

Yes, that's right. Of course it is not surprising that Dubai took such a step because Dubai is a business center and making bitcoin a means of paying employee salaries is no longer surprising because bitcoin is indeed very suitable to be used as a currency.

If we talk about the broad impact, of course this has a big impact on traders because this decision is positive news that recognizes bitcoin as a means of exchange. I think it is likely that many companies will follow this development, so that indirectly the use of crypto in daily transactions can increase. That way, of course this will open up new opportunities, especially in terms of liquidity in the crypto market.

I also read the news that this decision does not necessarily mean that all companies have to pay salaries in crypto, it's just that when crypto is included in the contract, the payment is legally valid.

[Dr.Bitcoin_Strange]

If every worker is in agreement to that new policy, then it's a good improvement but if some people are not, I feel it's going to be inconvenient for them because they will have to create an account on the platform where they will still have to exchange the Bitcoin into Fiat to enable them spend on their needs, because it's not every service or business that is accepting Bitcoin payment in that country.

[Luzin]

I read that. They do include an agreement in the contract. They will get Fiat and EcoWatt tokens. Dubai's Court of First Instance ruled that it was reversed from 2023. In 2023, the court denied on this issue they have included EcoWatt tokens, but not through Cryptocurency payments. Of course, this decision is an important part of the initial integration of crypto in the daily use of money

The worker’s employment contract stipulated a monthly salary in fiat and 5,250 in EcoWatt tokens.

Sumber: https://cointelegraph.com/news/dubai-court-recognizes-crypto-salary-payments

[BALIK]

~

Would be amazing to be able to receive part of your salary directly as Bitcoin though. Would save the hassle of directly converting your money and storing it in your wallet. Otherwise I doubt employees, even if they were pro-Bitcoin, would want their salaries to be in it. I mean you can't even buy stuff in general grocery stores with it after all. Maybe if that was implemented as well then we'd see people adopt it more? Otherwise, it's just an option for people who DCA which I'm pretty sure in the grand scheme of things, are pretty small in amount.

On the contrary, I personally still prefer to receive my salary in fiat currency because I will be more proactive in accumulating bitcoin. I wouldn't be happy to be paid in bitcoin when its price has gone so high. Converting between fiat currency and bitcoin has never been a hassle because of bitcoin's popularity and high liquidity these days.

In my opinion, it will depend on the individual, there will definitely be people who prefer to receive their salary in bitcoin and those who prefer to receive their salary in fiat currency. Paying in bitcoin should be an option and should be left to people to make the choice that's right for them.

[Smartvirus]

Something to be mindful about is, the lamelight at which this update was presented. It almost felt as though, it was something that would be done through the whole UAE while, this was subjective as it is and upheld by a Dubai court. The case is indeed about an employee and an employer with an agreement to pay a portion of the employee’s salary in EcoWatts Token of which the employer defaulted for a period of 6 months. The issue as it states was largely due to a conversion base.

It didn’t specifically state Bitcoin but, we can as well extend this to cryptocurrencies.

While it might be a welcomed development, it ain’t entirely new and is largely based on an agreement to pay by the employer.

[justdimin]

Dubai's Court of First Instance recognized cryptocurrency as a valid form of salary payment, marking a significant shift in the UAE's approach to digital currencies. This decision is a notable update from the court's previous stance in 2023, where a similar case was rejected due to issues with valuing crypto payments.

This move will have a positive impact in the mass adoption and use of bitcoin. For a country as big and popular like Dubai to make this move, we wait to see similar from neighboring countries or tourist destinations like Dubai.

Not a bad move, could definitely be something that might be used as example for other nations as well. After all, crypto is still a currency and you still have payments done to peoples exchange accounts if you want with KYC which means that it can be approved and could be done properly. I believe that there are no reasons why we should not have something like this, it benefits everyone, from the employee to employer they are all benefiting from the fact that they are in the crypto world and could both be happy with it.

I believe that it will not be simple situation, and I believe that it will take time but it is there at least and can be considered as a good deal. Cryptocurrencies should be available and used for any reason, including salary payments.

[mirakal]

I read that. They do include an agreement in the contract. They will get Fiat and EcoWatt tokens. Dubai's Court of First Instance ruled that it was reversed from 2023. In 2023, the court denied on this issue they have included EcoWatt tokens, but not through Cryptocurency payments. Of course, this decision is an important part of the initial integration of crypto in the daily use of money

The worker’s employment contract stipulated a monthly salary in fiat and 5,250 in EcoWatt tokens.

Sumber: https://cointelegraph.com/news/dubai-court-recognizes-crypto-salary-payments

Indeed, the news is somewhat positive in favor of crypto adoption, but I'm not sure if all workers are willing to accept bitcoin or if all companies want to. I think that still lies with the employer and employee preference, because I know that many still want to receive their salary in fiat rather than bitcoin. Until now, this has remained an option for everyone, but at least, it is very clear to know that Dubai is in support of bitcoin adaptation, which also has a huge impact and influence on market development. 

This is a stepping stone for more countries to develop some changes in payment systems. Of course, we can't expect instant change, but at least, we see some improvement and development, and we feel that bitcoin is no longer impossible to consider as an alternative currency. 

[serjent05]

It could definitely set a trend for other countries to follow suit.

That is if the employee and employer  find this kind of payment method convenient.  Remember the local market is yet to be set and prepared for cryptocurrency payment.  Employee would find it troublesome to convert ecowatt token to fiat currency to use for their daily needs.

It is indeed a good move for cryptocurrency but the environment like the local marketplace, the local store and even malls is yet to be fully prepared for this kind of system.  At the end of the day these cryptocurrencies will be converted to fiat currency to be able for the employee to spend their salary.

Honestly, this kind of salary payment is somehow non-sense for a regular person who is a non-cryptocurrency enthusiast.  It will be just another burden for them to claim their money and use it for their needed necessities.

Instead of approving cryptocurrency specifically ecowatt token for the salary payment, the government should have built an infrastructure around the cryptocurrency first so that people will have ways to directly spend their cryptocurrency. I wonder how much did the court receive to approve this decision.

Have you ever think if this is implemented in mandatory, people will automatically buying ecowatts token for six months from their hard earned salaries. It would feel unjust if I am one of those employee to receive such contract.

The worker’s employment contract stipulated a monthly salary in fiat and 5,250 in EcoWatt tokens.

[kotajikikox]

Good news coming to the digital currency space as one of the countries in the Asia region have just approved bitcoin and cryptocurrency for salary payments. It was first rejected in 2023 and now approved by the First court of instance.

Dubai's Court of First Instance recognized cryptocurrency as a valid form of salary payment, marking a significant shift in the UAE's approach to digital currencies. This decision is a notable update from the court's previous stance in 2023, where a similar case was rejected due to issues with valuing crypto payments.

This move will have a positive impact in the mass adoption and use of bitcoin. For a country as big and popular like Dubai to make this move, we wait to see similar from neighboring countries or tourist destinations like Dubai.

https://www.cryptotimes.io/2024/08/16/dubai-court-approves-cryptocurrency-for-salary-payments/

Dubai  as one of the richest country ? this will give more favorable situation for  all bitcoin users and of course with Altcoins in the second way , now what we are waiting is other country's following dubai's action and of course I love knowing sooner that my own country will have this own way .

It could definitely set a trend for other countries to follow suit.

how i wish this will come very soon in our country at least .

[Dr.Osh]

this is pretty good news for people who love crypto. However, Dubai is one of the cities that is developing rapidly at the moment. However, with the start of accepting bitcoin there, I think sooner or later it will grow. Moreover, if people start getting paid using Bitcoin, this will encourage people to accept Bitcoin and start learning how to use it.

[Marykeller]

When I read news like this, it puts smiles on my face that Bitcoin is gradually fulfilling its purpose in some countries as an alternative means of payment in country's workplaces.

I believe that step by step like this, having Bitcoin as another payment method will circulate to other countries, making Bitcoin a global payment method(what we aim for). It will only take time, but I believe that someday, Bitcoin will surely fulfill its global purpose. I wish we all get to see that when it happens. Time will tell.

[Hamza2424]

Good news coming to the digital currency space as one of the countries in the Asia region have just approved bitcoin and cryptocurrency for salary payments. It was first rejected in 2023 and now approved by the First court of instance.

First of all, that's really positive development. Still, I'm more curious about the audience or you can say the number of employees is willing to accept their payments in Bitcoin, TBH I'm not sure. Still, why that's my inner feeling if the number of employees are massive who are willing to be paid in Bitcoin would be a piece of better news compared to the acceptance of Bitcoin in the courts, you know the demand and supply.

Is there any such service available in the market to indicate the specific range of people who are willing to get paid in Bitcoin, after all, Bitcoin is a volatile asset and after working full months 9 to 5 or any other time-span you won't like to get paid less due to market volatility.

[dzungmobile]

Good news coming to the digital currency space as one of the countries in the Asia region have just approved bitcoin and cryptocurrency for salary payments. It was first rejected in 2023 and now approved by the First court of instance.

This move will have a positive impact in the mass adoption and use of bitcoin. For a country as big and popular like Dubai to make this move, we wait to see similar from neighboring countries or tourist destinations like Dubai.

Dubai can provide tax free (as I remember) policy and it supports Bitcoin as a salary payment. Two policies on tax and salary payment support each other and give citizens in Dubai a good option.

In other countries, you will be taxed if you receive your salary in bitcoin then selling it later to have cash. It is like e-commerce business and you will have to fill report on your e-commerce business in my understanding. In Dubai, you won't have to do this, again in my understanding. It means in other countries, employees who decide to receive salary payment in bitcoin, will have more challenge later when cashing out and probably be charged tax.

Correct me if I am wrong, please.

[348Judah]

Dubai is one of the countries with fast growing economy and i won't be surprised at seeing this happening because they have always allowed for the growth and advancement of digital technology in their country and in UAE as a whole, this decision will also foster the need to help other regions and countries accept bitcoin and make it a recognized digital currency for making payments, we look up to seeing other countries adopt bitcoin as a legal tender in Dubai soon.

[Kavelj22]

Dubai isn't just a tourist destination, but also a major business hub of the world. It's known for innovation and for being business-friendly, so the court's decision makes sense to me. However, I believe two things are important here. First, it's the court of first instance, so it's decision might be overruled. Second. UAE's legal system isn't precedent-based, so one court decision doesn't mean that a different court in a different case won't say otherwise.

This seems to be a largely acceptable logic, and therefore this news will lead us to two paths: First, there is a continuous momentum around one cryptocurrency without clarifying any reasons or intentions for this, especially since the order was issued by a court in Dubai and we do not know whether this is valid for the rest of the Emirates or whether it is valid in the Emirate of Dubai alone. Second, whether Bitcoin or other cryptocurrencies will be accepted as a recognized currency for paying salaries, this remains of limited benefit or almost useless as long as the rest of the sectors in the market do not accept this type of payment. There may be limited benefit with regard to the foreign currencies that transfer part of their salaries to their countries, but this also requires that those countries be official supporters of that currency, and then this will affect the remittance market from which other local sectors benefit.

Yes, it cannot be denied that this constitutes heavy-caliber news and may also increase the recovery of the market, but it remains within the framework of the Hype momentum without anyone being able to realize any potential benefits from it. We have previously discussed how the idea of ​​accepting Bitcoin as an official currency like fiat currencies in the market is not an easy matter even if there is an actual will to achieve this.

[m2017]

Good news coming to the digital currency space as one of the countries in the Asia region have just approved bitcoin and cryptocurrency for salary payments. It was first rejected in 2023 and now approved by the First court of instance.

The next logical step after recognizing bitcoin as a legal tender for salary payments would be recognizing bitcoin as a legal tender in Dubai. Otherwise, it would be like you received your salary in bitcoin, but you can't spend (use as a means of payment for goods and services) your salary. This good news in this form looks like half a law.

I seriously doubt that Dubai (or any other country) will recognize bitcoin (a currency not controlled by the government) as a means of payment.

[moneystery]

I read about it this morning. Dubai is becoming a hub for Bitcoin adoption, which is great since it's a popular tourist destination. However, I have one concern. Due to Bitcoin's volatility, many people might hesitate to receive their salaries in Bitcoin, as they want to preserve the value of their money in the long term. This is especially true for those who are new to cryptocurrency. If receiving salaries in Bitcoin is optional, not mandatory, it will be a step in the right direction.

the volatility issue can be solved very easily, because workers have the option to convert the bitcoin they get on the exchange or they can hold it long term in their non-custodial wallet, and it should not be a significant problem for them. the most important thing is how dubai has been very good in implementing this regulation, because the US alone, which is considered a large market for Bitcoin, still does not have this regulation.

[Sipurba]

if this works very well in a few years in the future, I believe a lot of countries will use Dubai as one of prime examples in fully adopting cryptocurrency into their governments. More than that, we might use Dubai as a further study in the regulation sector of how they implementing cryptocurrency in various economy aspects.

Or should Dubai step further by making a some kind of cooperation league between countries in utilizing and cryptocurency? (since Dubai is part of UAE and I believe is a city, probably it will best to use Dubai as a model city for other cities within UAE)

[Orpichukwu]

I still think that fiat salary is much more flexible. You always can buy as much crypto from is as you want and still have fiat for fiat only payments

Dubia approves crypto as a legal salary payment option, which means that if any company wants to pay their staff with crypto, it's acceptable, and if there is any breach of contract, any of the parties can sue or be sued. 
 
The same way you consider fiat to be very flexible, that's how those who are good with crypto can also consider crypto to be. You can also change your crypto payment to fiat in the same way that you can convert your fiat salary to bitcoin or any crypto of your choice.
 
The good thing about the news is that whatever the company and its employees agree to consider as their own salary, it's legal. 

[Kavelj22]

if this works very well in a few years in the future, I believe a lot of countries will use Dubai as one of prime examples in fully adopting cryptocurrency into their governments. More than that, we might use Dubai as a further study in the regulation sector of how they implementing cryptocurrency in various economy aspects.

Or should Dubai step further by making a some kind of cooperation league between countries in utilizing and cryptocurency? (since Dubai is part of UAE and I believe is a city, probably it will best to use Dubai as a model city for other cities within UAE)

In this case, we are far from the actual adoption of Bitcoin even if all employees choose to accept Bitcoin as salaries. As I explained before, those who will choose to accept their salaries in Bitcoin will be of two types: either employees who want to allocate part or all of their salaries in the form of a risky investment and they most likely have enough deposits that enable them to secure daily living expenses in a way that allows the salary to be used for investment savings, and I can almost guarantee that most of them will be senior employees who enjoy high salaries, or those expatriate workers who may choose this type of payment in order to make a quick and cheap transfer to their home country. In any case, there is no room for direct use of Bitcoin, and therefore this initiative remains a fundamental question about what its feasibility could be, and if a court in Dubai can issue these decisions, can it, by the same logic, allow economic sectors, partially or completely, to accept Bitcoin payments.