Dubai Court Recognizes Crypto As a Valid Salary Payment (cointelegraph.com) 23
The Dubai Court of First Instance has declared that cryptocurrency can be used as a legal form of salary under employment contracts. CoinTelegraph reports: Irina Heaver, a partner at UAE law firm NeosLegal, explained that the ruling in case number 1739 of 2024 shows a shift from the court's earlier stance in 2023, where a similar claim was denied because the crypto involved lacked precise valuation. Heaver believes this shows a "progressive approach" to integrating digital currencies into the country's legal and economic framework. Heaver said that the case involved an employee who filed a lawsuit claiming that the employer had not paid their wages, wrongful termination compensation and other benefits. The worker's employment contract stipulated a monthly salary in fiat and 5,250 in EcoWatt tokens. The dispute stems from the employer's inability to pay the tokens portion of the employee's salary in six months.
In 2023, the court acknowledged the inclusion of the EcoWatts tokens in the contract. Still, it did not enforce the payment in crypto, as the employee failed to provide a clear method for valuing the currency in fiat terms. "This decision reflected a traditional viewpoint, emphasizing the need for concrete evidence when dealing with unconventional payment forms," Heaver said. However, the lawyer said that in 2024, the court "took a step forward," ruling in favor of the employee and ordering the payment of the crypto salary as per the employment contract without converting it into fiat. Heaver added that the court's reliance on the UAE Civil Transactions Law and Federal Decree-Law No. 33 of 2021 in both judgments shows the consistent application of legal principles in wage determination.
In 2023, the court acknowledged the inclusion of the EcoWatts tokens in the contract. Still, it did not enforce the payment in crypto, as the employee failed to provide a clear method for valuing the currency in fiat terms. "This decision reflected a traditional viewpoint, emphasizing the need for concrete evidence when dealing with unconventional payment forms," Heaver said. However, the lawyer said that in 2024, the court "took a step forward," ruling in favor of the employee and ordering the payment of the crypto salary as per the employment contract without converting it into fiat. Heaver added that the court's reliance on the UAE Civil Transactions Law and Federal Decree-Law No. 33 of 2021 in both judgments shows the consistent application of legal principles in wage determination.
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Please tell me you're joking.
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Minimum wage? In Dubai?!
Two beatings a day.
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The Future Is Looking Bright (Score:3)
Guy: I make 54,000 Florbalcoins per fortnight
Girl: That's great! What is that in grown-up dollars per year?
Guy: $258,000. Wait, 17 cents. No, $27,000
Well if the bastion of workers rights like Dubai (Score:1)
Seriously this is very very very very very obviously just yet another way for Dubai to have slave labor without calling it slave labor. They really are a blight on the entire human race.
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Come on now, its not their fault the bitcoin they pay with just went down from 1 cent a coin to .00000000001 cents a coin! It's just the economy!
nah it wont even be bitcoin thats a toy for crack addled finance bros playing and playing games with export controls now. If they used that they might accidentally pay some one money as its price fluctuates wildly, statistically they might actually break even once. it will be some shitty alt coin where the "value" will dry up as soon as someone tries to cash out.
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Supports crypto for paying wages who are we the question them?
Seriously this is very very very very very obviously just yet another way for Dubai to have slave labor without calling it slave labor. They really are a blight on the entire human race.
what you think the city built out of nothing more than oil money and slavery where they can build a ski hill in the desert but forget to build sewer and water system might be problematic?
"Dubai court" (Score:1)
Isn't it whatever the ruler wants?
Drop your prejudice. Dubai's a real world power. (Score:2)
I've insisted to date that cryptocurrency isn't real money because it's not formally recognized as such by (most) sovereign nations. Even here in the US - a technically literate nation - there is still debate on the subject of crypto "currency".
If a nation acknowledges crypto as currency, by definition it's currency there. If enough nations worldwide acknowledge crypto as currency, it becomes part of the global economy. I personally think it's ridiculous, but it's so.
Pay in crypto and maybe lose part of your pay... (Score:2)
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Due to inflation, traditional currencies lose value - typically / in the long run by some 2% per year.
Are cryptocurrencies THIS stable?
Or what's your point?
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Real currencies are (usually) not nearly as volatile as crypto.
You were paid X dollars last month; the price of groceries this month probably under normal circumstances haven't changed noticeably since last month. Your money is still more or less worth what it was when you got it.
Now take a look at how quickly and how sharply the value of Bitcoin changes - both up and down. You can't be given X bitcoin and know with reasonable certainty what you can get for them a month later.
The way crypto works . . . (Score:1)
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Except they don't actually get paid in Bitcoin, but some other cryptocurrency probably created for this exact purpose not unlike Company Scrips.
Besides, it's not just good things that are here to stay. Plenty of bad things, too.
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And Crypto Ledgers are not necessarily Bitcoin, which can kindly go warm some other planet thanks.