In a recent presentation at Plug and Play’s Bitcoin job fair, Balaji Srinivasan, co-founder of 21 and General Partner of Andreessen Horowitz, talked of the challenge of building closed loops in the Bitcoin ecosystem. Bitwage is dedicated to playing an integral role in opening up avenues for receiving Bitcoin and closing these loops by reducing value leakages that flow back into the fiat currency system. We are aware that the common on-ramp for converting fiat currencies to Bitcoin through exchanges is far from ideal: it can be slow, onerous and in some cases insecure. There have also been various issues with bank accounts being arbitrarily closed due to purchases of Bitcoin. How can we truly close the loop and remove ourselves from the traditional financial infrastructure when we don’t have the proper tools to go full Bitcoin?
For over a year, Bitwage has been allowing individuals to receive Bitcoin via direct deposits from their monthly paycheck. Bitwage customers are able to allocate the proportion of their salary that they would like to be paid in Bitcoin without having to deal with cumbersome personal bank accounts as an intermediary. Employees and contractors from all over the world have taken advantage of this service without the requirement for their employer or client to sign up. However, deciding on the proportion of the salary to be paid in Bitcoin has been difficult for customers concerned about the volatility of the Bitcoin exchange rate.
This is why we are delighted to announce our new product, Bitwage Cloud Savings. By partnering with Bitreserve, we are now able to offer customers the option to choose any portion of their salary to be split and held in 9 currencies and 4 precious metal, including US dollars, Bitcoins, Euros, Pounds, Mexican Pesos, Indian Rupees, Gold, and Silver.
What are the advantages of Bitwage Cloud Savings?
From paycheck to paycheck, Bitwage users will be able to decide exactly how their salary is paid. Whether you are an Argentinian contractor wishing to hold US Dollars, a Russian software developer looking to hold Euros or a US employee who wants to be paid in a split between Bitcoin, Gold and Dollars, Bitwage gives the choice back to you.
Bitwage users already enjoy an element of separation from their bank and the traditional financial system. However, Bitwage Cloud Savings now allows them to bypass the whole process unlike other services that require customers to sign up with a bank account to receive fiat and digital currencies. This means that for the unbanked and underbanked, there now exists a solution that allows them to participate in the global digital marketplace and avoid the slow, costly process of check cashing services.
According to the World Bank, the average cost of sending payments across borders is 8% and it typically takes 3-5 days before the transfer is completed. With a single integration, employees and contractors can receive their salary in the most remote and inaccessible of regions. Foreign employees and contractors working away from home can receive their wages in the currency they wish to send back home nearly instantly. With Bitwage Cloud Savings, receiving wages around the world has never been easier.
We envisage a world of low cost, fast, borderless payroll where, with Bitwage Cloud Savings, employees and contractors all around the world can avoid the limitations enforced by the traditional banking infrastructure by harnessing the efficiency and freedom of Bitcoin held in the currency of their choosing.
Founder & COO