New Zealand has become the first country to legalize cryptocurrency salaries, according to a report from the Financial Times.
The country’s tax agency ruled salaries and wages may be paid in cryptocurrencies so long as the preferred digital coin is pegged to at least one standard, or fiat, currency. New Zealand also requires that the crypto of choice be directly convertible into a standard form of payment.
This allows Bitcoin to serve as a form of payment for New Zealand workers when the law goes into effect September 1, 2019.
The decision also detailed New Zealand’s plans to allow for bonuses to be paid in cryptocurrency, but the ruling excludes self-employed workers from switching their income to cryptocurrency.
The move serves is another step towards governments recognizing that actually people are wanting to be paid in cryptocurrencies.