Crypto Payments Carry Potential Compliance Obstacles

Employers can pay employees in cryptocurrency, but they should be aware of logistical and compliance-related concerns before diving in, payroll professionals said June 23.

Cryptocurrencies, or digital assets and virtual currencies that often rely on blockchain technology for heightened anonymity and security, are seen by some investors as volatile, the professionals said during the American Payroll Association’s 2022 Virtual Congress. The value of a currency can fluctuate sharply and frequently.

“Truthfully, all investments experience some measure of volatility, or change over time,” said Daniel Thompson, Jr., CPP, director of payroll operations at Bath and Body Works. “As with any investment ...