A survey released Tuesday shows that U.S. crypto companies tend to offer higher salaries for various positions and experience levels compared to their international counterparts.
The survey, which looked at 49 portfolio companies in 2023, shows that cryptocurrency salaries in the U.S. exceed those abroad by an average of 13%, with stock and token packages being 30% more generous.
The data showed that entry-level crypto engineering positions in the U.S. offer salaries ranging from $105,000 to $154,000, compared to $86,000 to $136,000 for similar positions abroad.
For founders of seed-stage start-ups, US executives typically receive around $143,900. This level is slightly higher than for their foreign counterparts where it is around $140,000. However, the findings show that as start-ups reach the C series level, U.S. founders can potentially earn as much as $300,000.
Salary adjustments due to cost of living are becoming more common
The survey found that three-quarters of all companies, regardless of size, stage or funding, hire employees from other countries.
Interestingly, U.S. companies that operate exclusively in the domestic market seemed reluctant to adjust wages to reflect the cost of living. This may be due to the relatively stable cost of living compared to jobs around the world, or the competitiveness of the U.S. labor market.
In contrast, the approach was more evenly matched for U.S. companies that hire abroad; some adjusted wages in line with the cost of living.
Research shows that most companies, especially at the beginning, do not adjust wages based on the cost of living. However, as companies grow and mature, they are increasingly considering adjusting salaries based on the cost of living.
Popular forms of payment
The survey found that while most companies prefer fiat currency for payments, foreign companies are paying employees with cryptocurrencies, especially USDC.
“Companies often pay internationally with cryptocurrencies to streamline cross-border transactions, mitigate exchange rate fluctuations and/or take advantage of tax considerations in certain jurisdictions,” – the study stated.
In addition, it revealed that foreign companies are generally more open to accepting tokens, with most of them already having them or planning to introduce them. U.S.-based companies, on the other hand, appear more hesitant, with many choosing not to undertake tokenization initiatives.
This difference in approach may be influenced by the different regulatory environment, with the US seen as having a stricter stance due to enforcement actions against cryptocurrency companies and executives, as opposed to jurisdictions such as the EU.
