Costa Rican workers have now the option to receive their paycheck in cryptocurrency, which would be entirely legal by the country’s laws. In the national legislation, it is stipulated that companies can pay their workers not with just fiat money but also with goods, and according to some legal experts cryptos meet this criterion.
Cryptos Can Represent Goods, Assets, or “Quasi Money” in Costa Rica
According to local media reports, employees in Costa Rica will be able to receive part of their salary in cryptocurrency. Paying workers in cryptos doesn’t contravene with any parts of the country’s legislation.
Costa Rican law lets employers compensate in some measure their staff with non-currency goods, provided that the legal minimum wage consists of money. It also mentions the concept of “quasi-money”, or any asset that is considered as a form of payment and has been generally accepted by the citizens.
“This is a trend that could take hold in the country,” said Rolando Perlaza, an employee at Nassar Abogados, a prominent law firm in Central America.
“This type of payment would in no way replace traditional or liquid cash. It would rather become an incentive for the workers, who could decide if they accept these currencies as payment for their services,” he continued.
He also highlighted that in any of the aforementioned instances, employees are under the protection of the country’s Labor Code by article 166.
Costa Rican News reported in October last year that the Central Bank of Costa Rica (CBCR) released a directive in which it stated that cryptocurrencies were not incorporated in the national banking system. The document also showed that executing any kind of commercial transactions with digital coins constitutes a “limited option” in the country.
In conjunction with that, the central bank advised cryptocurrencies users to undertake the financial risks that come with this trading sector.
In spite of CBCR’s evaluation, the local crypto situation has been gradually seeing some development in the past years, featuring an increasing number of merchants and other businesses accepting cryptocurrencies as a form of payment. There has also been reported that a few bitcoin ATMs started being installed in the capital San Jose and other cities.
From the report, it can be concluded that the nation also offers an encouraging environment for crypto mining operations due to its renewable resources.
“Our Costa Rica-based crypto mining facility utilizes renewable energy options such as solar and wind. We think renewable energy has to be an essential part of any crypto related project. This green approach is good both for us and for the planet and makes the new business opportunities even better,” said Daniel Yépez, owner of SH Mining Technologies, a local crypto company.
“Cryptocurrencies are here to stay and we are embracing the changes,” stated Yépez whose business focuses on offering cloud mining services.