Among them were New York City Mayor Eric Adams, who vowed after his election that he’d accept his first three paychecks in bitcoin, and wide receiver Odell Beckham Jr., who opted to take his entire NFL salary in the token after signing a new contract with the Los Angeles Rams.
"It is important to note that in many of the cases we’ve heard about, the individual is actually converting their salary, or a portion of it, into crypto after getting paid rather than their employer transferring crypto to them," Cathy Barrera, founding economist of Prysm Group and program director of the Wharton
Rising inflation has been an argument among proponents of crypto salaries, but with growing parallels in the price movements of bitcoin and stocks, that premise has been doubted by some experts. Most recently, Belgian politician Christophe De Beukelaer — a self-proclaimed crypto enthusiast, according to his— has decided to receive his paychecks in bitcoin, attributing his inspiration to Adams.
“Generally, the taxable income consequences are going to mirror the economics of the contract, measured in U.S. dollar terms,” he explained. “For example, if a contract is structured so that a person would be paid a certain number of bitcoin regardless of market prices, that contract would be significantly less valuable in U.S. dollar terms if the price of bitcoin declines.”