Frequently Asked Questions

Bitwage supports a range of major cryptocurrencies, though availability may vary by service tier:

• Bitcoin (BTC): Available on all service tiers
• Ethereum (ETH): Available on all service tiers
• Stablecoins: USDC, USDT (varies by tier and region)
• Other Assets: Selection varies and may include other major cryptocurrencies

Enterprise customers may have access to additional cryptocurrency options through custom arrangements. The exact selection depends on regulatory approval in your jurisdiction and platform capabilities.

Yes, Bitwage allows you to customize your cryptocurrency allocation across multiple assets. You can typically:

• Set percentage allocations for each supported cryptocurrency
• Adjust allocations on a schedule (monthly, quarterly, etc.)
• Maintain different allocations for different payment types (salary vs. bonuses)
• Set up automatic rebalancing based on market conditions

For example, you might allocate 50% to Bitcoin, 30% to Ethereum, and 20% to USDC for stability. These percentages must total 100%.

Bitwage offers several service tiers designed for different needs:

Bitwage fees consist of several components:

Processing Fees

• Freelancer: 1.0% - 2.0% per transaction
• Business: 0.75% - 1.5% per transaction
• Enterprise: Custom pricing (typically 0.5% - 1.0%)

Additional Costs

• Currency Spreads: 0.25% - 1.5% depending on currency pair
• Network Fees: Blockchain transaction costs (varies by network)
• Platform Fees: Monthly fees for business/enterprise tiers

Total effective rates typically range from 1.5% to 3.5% depending on service tier, volume, and currency selection. See our detailed pricing analysis for more information.

Yes, Bitwage offers volume discounts based on monthly transaction amounts:

• $10,000 - $50,000/month: 10% reduction in processing fees
• $50,000 - $200,000/month: 20% reduction in processing fees
• $200,000+ /month: Custom enterprise pricing with significant discounts

Additional discounts may be available for:

• Annual payment commitments
• Less frequent payment schedules (monthly vs. weekly)
• Enterprise-level compliance and integration requirements

Volume is typically calculated on a rolling 90-day average to account for seasonal variations in payroll.

Network fees are the costs required to process transactions on blockchain networks. These fees are typically passed through to users at cost:

Typical Network Fee Ranges

• Bitcoin: $2 - $50 depending on network congestion
• Ethereum: $5 - $100 depending on gas prices
• Stablecoins (Layer 2): $0.01 - $2 for optimized networks
• Other Networks: Varies by blockchain architecture

Fee Optimization Strategies

• Batch Processing: Combining payments reduces per-user fees
• Layer 2 Networks: Using Polygon, Lightning Network for lower costs
• Timing Optimization: Processing during low-congestion periods
• Stablecoin Selection: Choosing networks with lower base fees

Bitwage implements several security measures to protect user funds and data:

Technical Security

• Multi-signature wallet storage for cryptocurrency holdings
• Cold storage for the majority of cryptocurrency reserves
• Two-factor authentication (2FA) for account access
• Encryption of sensitive data in transit and at rest
• Regular security audits and penetration testing

Operational Security

• Segregation of client funds from operational funds
• Background checks for employees handling funds
• Incident response procedures for security events
• Insurance coverage for certain types of losses

Important: As with any financial service, there are inherent risks. Consider the volatility of cryptocurrencies and only convert amounts you're comfortable holding as digital assets.

While no system is completely immune to risk, several protections and contingencies exist:

Security Breach Protections

• Majority of funds stored in offline cold storage
• Multi-signature requirements for fund movements
• Insurance coverage for certain security breaches
• Rapid incident response and user notification procedures

Business Continuity

• Client fund segregation from operational assets
• Backup access procedures for user accounts
• Clear fund recovery processes
• Compliance with financial services regulations

Risk Mitigation: Consider withdrawing cryptocurrency to your own wallets regularly rather than keeping large balances with any third-party service.

Yes, Bitwage offers API access for business and enterprise customers:

API Capabilities

• Payment processing and status monitoring
• Account management and user onboarding
• Transaction history and reporting
• Webhook notifications for real-time updates
• Allocation management and portfolio tracking

Integration Support

• RESTful API with JSON responses
• SDKs for popular programming languages
• Comprehensive documentation and examples
• Sandbox environment for testing
• Developer support and consultation

See our API documentation for detailed technical information and integration guides.

Bitwage supports integration with many popular payroll and HR systems:

Supported Systems

• HR Systems: Workday, BambooHR, ADP, SAP SuccessFactors
• Accounting: QuickBooks, NetSuite, SAP, Oracle Financials
• Payroll Services: Most major payroll providers through API

Integration Methods

• API Integration: Direct system-to-system communication
• File-based: CSV/Excel file uploads for batch processing
• Manual Entry: Web dashboard for smaller operations
• Custom Development: Tailored solutions for enterprise clients

Enterprise customers typically receive implementation support to ensure smooth integration with existing systems.

Cryptocurrency salary payments have tax implications that vary by jurisdiction:

United States

• Crypto salary is treated as ordinary income at fair market value
• Taxed at regular income tax rates, not capital gains rates
• Subject to payroll taxes (Social Security, Medicare)
• Additional capital gains/losses when crypto is sold

General Considerations

• Income recognized at time of receipt, not when sold
• Cost basis established for future capital gains calculations
• Detailed record-keeping required for all transactions
• May require quarterly estimated tax payments

Important: Tax laws are complex and change frequently. Consult with a qualified tax professional familiar with cryptocurrency taxation in your jurisdiction.

Yes, Bitwage provides various tax reporting documents and tools:

Available Documents

• Transaction Reports: Detailed history of all conversions and transfers
• Tax Forms: 1099 forms for US users (where applicable)
• Cost Basis Reports: Cost basis calculations for capital gains purposes
• CSV Exports: Raw data for tax software import

Features

• Automatic cost basis tracking
• Integration with popular tax software
• Multi-year historical data access
• Support for different accounting methods (FIFO, LIFO, etc.)

Tax reporting features may vary by service tier and jurisdiction. Enterprise customers typically receive enhanced reporting capabilities.

The legality of cryptocurrency salary payments varies by jurisdiction and employment type:

Generally Permitted Jurisdictions

• United States: Legal with proper tax withholding and reporting
• European Union: Varies by member state, generally allowed
• United Kingdom: Legal with appropriate tax treatment
• Canada: Permitted with proper reporting

Requirements and Considerations

• Compliance with minimum wage laws (using fair market value)
• Proper tax withholding and reporting
• Employee consent and agreement
• Clear documentation of terms and conversion rates

Important: Employment laws vary significantly by jurisdiction. Both employers and employees should consult with legal professionals to ensure compliance with local regulations.