Dubai Court Recognizes Cryptocurrency as Legal Salary Payment in Landmark Ruling

Aug 19, 2024

 Dubai Court Recognizes Cryptocurrency as Legal Salary Payment in Landmark Ruling
 Dubai Court Recognizes Cryptocurrency as Legal Salary Payment in Landmark Ruling
 Dubai Court Recognizes Cryptocurrency as Legal Salary Payment in Landmark Ruling

On August 16, 2024, the Dubai Court of First Instance made a landmark decision by recognizing cryptocurrency as a valid form of salary payment in employment contracts. This ruling came after an employee sued their employer for unpaid wages, which included payments in EcoWatt tokens as stipulated in the contract. The court ruled in favor of the employee, requiring the payment to be made in crypto without converting it to fiat currency. This represents a significant shift from the court's previous stance, which had been hesitant to recognize cryptocurrencies as valid salary payments due to valuation challenges. The decision highlights Dubai's evolving legal framework in embracing digital currencies and signals broader acceptance within the UAE's financial system​.