A Dubai court has legitimized crypto salary payments in employment contracts, which is a major move that could promote the adoption and integration of crypto use cases.
A Dubai court of First Instance recently agreed to allow salary payments in crypto. The ruling on crypto salary payments is one of the first and most significant moments for the industry. With payments being one of the popular crypto use cases, the ruling could be a boon for the crypto sector.
Neoslegal, a law firm dealing with the crypto industry, has provided insights on the case. Media reports on the case have quoted Irina Heaver, a lawyer of the firm. She claimed how the ruling was a progressive move for the crypto sector as a whole.
Meanwhile, the official order of the case states, “..as the respondent did not provide evidence of payment of the due amount to the claimant for the claimed months in EcoWatt tokens, the court orders the respondent to pay the claimant the value of her wages in EcoWatt tokens amounting to [redacted] EcoWatt tokens.”
The case dates a year back, when an employee of a firm filed a case in the Dubai court for non-payment of salaries. The salary contract of the employee consisted of payments in EcoWatt tokens. In 2023, the court did not rule in favor of the employee since the value of the tokens could not be ascertained. However, after a year, the court has legally recognized the tokens as well directed for its payment.
This case could become a landmark judgment for future instances of such crypto use cases. Meanwhile, a judicial affirmation of crypto payments holds a lot of importance for the sector’s promotion. Moreover, the UAE’s crypto ecosystem could hugely benefit from the results of this ruling.
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