New York Mayor Receives First-Ever Cryptocurrency Salary
It’s true: New York City mayor received first-ever salary in cryptocurrency!
Announcements
On January 21, 2022, newly elected New York City Mayor Eric Adams received his first salary in cryptocurrency.
He was the first mayor of the city to receive his salary through this form of payment.
Eric Adams thus fulfills the promise he made at the end of 2021, when he said he would receive his first three salaries in Bitcoin and Ethereum.
The politician aims to make the metropolis the center of the cryptocurrency industry.
To better understand what happened and discover the main characteristics of Bitcoin and Ethereum, continue reading! We will explain everything about the subject.
The Mayor of New York and Cryptocurrencies
“We will become the center of life sciences, the center of cybersecurity, the center of self-driving cars, the center of bitcoins,” he said in a campaign.
Additionally, the other two candidates, Republican Curtis Sliwa and Democrat Andrew Yan, also gave speeches related to the digital currency universe.
Curtis Sliwa said he wants to make New York a more cryptocurrency-friendly city.
Andrew Yang, meanwhile, said his goal was to make New York a hub for bitcoin and other cryptocurrencies.
However, it was Adams who promised that his first three salaries would be in digital assets.
He entered the race after Miami Mayor Francis Suarez declared he would receive his first salary in digital assets.
In fact, when elected in November last year, Adams suggested that schools offer courses on cryptocurrencies and blockchain technologies.
Is it now possible to receive your salary in cryptocurrency in Brazil?
In addition to being an investment, Bitcoin (BTC) is already used in some places as a currency for commercial transactions and salary payments.
In the United States, this possibility already exists. However, in Brazil, there are legal obstacles.
Olivia Pasqualeto, a professor at Fundação Getulio Vargas (FGV), states that the Consolidation of Labor Laws (CLT) determines in its article 463 that wages must be paid in legal tender. “We are automatically talking about the real.”
This means that an employer cannot pay an employee's salary in any currency other than the real.
Even if the employee enters into an agreement to receive payment in crypto, there would be a high risk for the employer. Furthermore, there are some rules that must be followed.
All salaries must be set in reais. The employee could even ask for payment to be made via Bitcoin, but the deduction must be made according to the amount established in reais.
It is important to mention that this rule is valid in Brazil, as each country has its own definition of how wages should be paid.
Bitcoin and Ethereum: learn more about the most valuable cryptocurrencies on the market
New York City Mayor's First Paycheck Automatically Converted to Ethereum and Bitcoin
However, Eric Adams may choose other cryptocurrencies for his next two salaries.
And if you already know a little about the cryptocurrency market, you've certainly heard of Bitcoin and Ethereum. After all, we're talking about the most valuable and well-known digital currencies.
But what is the difference between them? Which one came first? That's what you're going to find out now! Take a look:
What is Bitcoin (BTC)?
Bitcoin is a decentralized digital currency, meaning it is not regulated by any Central Bank or government.
It was the world's first cryptocurrency to be created and it works without any interruption.
Bitcoin is based on an extremely secure technology called Blockchain.
What are the main advantages of Bitcoin (BTC)?
Trading Bitcoins is relatively simple and does not require a great deal of investment knowledge.
But that’s not the only advantage of cryptocurrency.
Because it is a digital currency, the government and financial institutions cannot manipulate or control the asset. In other words, you are the person who has total control over it.
Furthermore, Bitcoin can also function as a “universal money”.
Have you ever needed to transfer money abroad? If so, you know that this task is laborious and often involves very high fees.
And Bitcoin can help break down these barriers!
As it is a universal currency, you can use it wherever you are, but without having to pay exchange fees!
What is Ethereum (ETH)?
Bitcoin, when it emerged, showed that it is possible to carry out transactions without an intermediary.
However, Ethereum went a step further, as it showed that the entire internet can be decentralized.
Ethereum, in fact, it is the name of the blockchain network, while Ether (ETH) is its native cryptocurrency.
This is why many people use the term Ethereum to refer to cryptocurrency.
What are the main advantages of Ethereum (ETH)?
First of all, it is important for you to know that Ethereum is a less scarce currency than Bitcoin.
Bitcoin has a set limit of 21 million coins in circulation, while Ethereum, for now, has no printing limit.
But one of the main advantages of Ethereum is its speed.
In Bitcoin, on average, one block is found every 10 minutes. In Ethereum, the time drops to 13 seconds!
Which is better: Bitcoin or Ethereum?
You can't say that one digital currency is better than another.
After all, both currencies are well valued and have very different proposals.
The truth is that the potential of both is very great!
However, although we are talking about the two main cryptocurrencies, it is important to mention that there are other digital assets that have appreciated a lot in 2021, such as Gala and Axie Infinity, for example.
Conclusion
The mayor of New York actually received his first salary in cryptocurrency and this fact could certainly make digital assets attract even more attention from the market.
But before investing in cryptocurrencies, it is important to know that despite being a promising market, there are risks involved, as we are talking about variable income!
