An internet company from Israel wants to attract new talent by offering its employees the possibility to be paid in bitcoin. In the past years, the tech industry from Israel has seen an increase in demand for specialists. However, since many of the prospective employees are choosing to leave the country, the high tech industry in the country has become very competitive regarding work-force.
Recently Spot.IM, an internet company, has proposed the option for salary payments in bitcoin. In order to start paying its employees with the cryptocurrencies, the company has to get the approval from the Israel Securities Authority (ISA).
Bitcoin.com reported that for the moment the two entities are trying to establish an appropriate exchange rate which is the most important factor for this proposal to work. Furthermore, the ISA will reach a conclusion in the following month.
Spot.IM also sought the approval of the Labor Ministry, which declared that they are reviewing the request. The company also added that this move would enable the employees to accept their wages fully or partially in bitcoin, and it will ultimately diminish the expenses of the company with shekel conversion fees.
According to the local news, Spot.IM wants to make the payments by using a cryptocurrency operator or exchange on which they will create a dedicated account. Every month, the employer will convert the required amount into bitcoin and transfer it to the employees’ wallets.
The attorney of the company hinted that it is only a matter of time until the regulators will approve the requests since:
“Any money and money equivalent or benefit given to the employee is recognized by the Tax Authority as part of the employee’s taxable income.”
The company was founded in 2012, and since then it has raised almost $38 million from several investors. In 2017 the company received $25 million in a Series of C funding from the Russian billionaire Roman Abramovich and other investors.
Spot.IM offers internet services for blogs and publications who wish to increase their social engagement and comment rates and is currently collaborating with Time Magazine, NBC, Huffington Post and more.
While the company focuses outside the cryptocurrency industry, the founder of the company, Ido Goldberg stated:
“we are great believers in the future of cryptographic currencies. Still, currencies are built on trust, and to create such trust companies, organizations and institutions will have to recognize cryptographic currencies as legitimate.”
Last year, another Israeli company, Papaya Global announced that it will give its employees the possibility to be paid up to 30 percent in bitcoin, ethereum, and other cryptocurrencies.