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Choosing an EOR for Crypto: 5 Things You Need to Know
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Is Your EOR Built for Crypto Companies?

5 Critical Questions to Ask When Comparing EOR Platforms for Token Payroll and Stablecoin Compensation

Ken O'Friel
CEO, Co-founder

Introduction

Do traditional Employer of Record (EOR) platforms work for crypto companies?

The short answer: not very well.

The Employer of Record (EOR) model was created with a compelling promise - to make global hiring simple. It offered companies a way to employ talent anywhere in the world without navigating foreign payroll systems, labor laws, or tax regimes on their own. For many businesses, that promise unlocked faster growth and access to global talent.

But for a growing number of crypto and Web3 companies, that promise is breaking down.

As teams scale globally and compensation models evolve beyond traditional fiat salaries, many organizations are discovering that their EOR relationship is no longer simplifying operations - it’s introducing new layers of friction. Payroll processes require workarounds. Compliance questions lack clear answers. Support feels transactional instead of consultative. What once felt like infrastructure now feels like overhead.

This disconnect isn’t the result of a few bad providers. It’s the outcome of an EOR market that evolved for traditional companies and has struggled to adapt to crypto-native realities. Most EOR platforms were built for centralized payroll, conventional equity, and local banking systems - not distributed teams paid through modern compensation structures, operating across dozens of jurisdictions at once.

As crypto companies move from experimental growth to long-term operations, employment infrastructure matters more than ever. Hiring globally is no longer the challenge. Hiring well - with predictable costs, reliable support, and defensible compliance - is.

This series exists to examine why the EOR market is falling short for modern teams, what questions companies should be asking their providers, and what a true EOR partnership should look like going forward.

Whether you’re hiring your first international employee or reassessing a long-standing EOR relationship, this guide is designed to help you evaluate your options with clarity - before small issues become structural risks.

TL;DR

Many crypto companies use Employer of Record (EOR) services to hire globally - but increasingly find that their EOR creates friction instead of removing it.

If your EOR relationship feels harder over time rather than easier, you’re not alone.

Across the industry, companies report the same issues:

  • Rising costs that are difficult to forecast or explain
  • Support models that struggle with complex payroll or compliance questions
  • Fragmented handling of modern compensation structures
  • Compliance risk that quietly shifts back onto internal teams

This 5-part series breaks down where the EOR model is failing, how to recognize early warning signs, and what companies should expect from a true EOR partner in 2026 and beyond.

Why Traditional EORs Struggle With Crypto Companies

Employer of Record platforms weren’t designed with crypto-native organizations in mind. While they can manage standard employment contracts and local payroll filings, many struggle when compensation, treasury, and compliance requirements move beyond traditional assumptions.

What makes crypto employment different?

Crypto companies operate with fundamentally different employment dynamics. Compensation structures often extend beyond fixed salaries. Teams are globally distributed by default. Treasury operations may not rely solely on traditional banking rails. And tax treatment for non-traditional compensation varies significantly by jurisdiction.

This means employment infrastructure must account for:

  • New forms of compensation that don’t behave like equity or cash
  • Payroll workflows that span dozens of countries simultaneously
  • Compliance frameworks that are still evolving
  • Audit and documentation expectations that are increasing, not decreasing

Traditional EORs were not built to handle this level of complexity natively.

How do legacy EORs typically handle modern compensation?

Most platforms attempt to adapt through add-ons and exceptions. Employment contracts are handled in one system. Compensation tracking happens elsewhere. Payroll teams rely on manual spreadsheets to reconcile differences. Questions about compliance are escalated - often without definitive answers.

The result is a fragmented workflow where operational burden stays with the customer, even though they are paying for “outsourced” employment infrastructure.

What risks does this create?

As teams grow, small gaps compound. Inconsistent payroll handling, unclear compliance ownership, and slow support responses can turn into:

  • Unexpected costs
  • Payroll delays
  • Employee dissatisfaction
  • Audit exposure

According to internal analysis across dozens of crypto-native teams, companies using traditional EOR platforms spend 8–12 hours per month managing workarounds related to non-standard compensation and global payroll - time that was supposed to be saved.

5 Critical EOR Questions for Crypto Companies

This series is structured around five questions every crypto company should ask when evaluating an EOR provider - whether they’re choosing one for the first time or considering a switch.

Part 1: The Broken Promise of EOR: Why Your Global Payroll Partner Might Be Failing You

The first post examines the gap between EOR marketing promises and operational reality. It explores how to identify whether your EOR is reducing complexity or quietly pushing risk back onto your team.

Key question:

How do I know if my EOR is failing my crypto company?

Common signs include manual compensation tracking, unclear answers around compliance, and recurring payroll exceptions that never seem fully resolved.

Part 2: The EOR Pricing Shell Game: Are You Paying for Phantom Employees?

EOR pricing is rarely as simple as it appears. This post unpacks how pricing models work, where hidden fees emerge, and how to calculate true cost - beyond headline per-employee rates.

Key question:

What’s a fair price for EOR services in a global, modern organization?

Transparency, flexibility, and alignment with headcount changes are central themes here.

Part 3: The Support Black Hole: Why Your EOR’s Chatbot Can’t Solve a Payroll Crisis

Global payroll issues don’t wait for ticket queues. This post looks at how EOR support models break down under pressure - and what meaningful support should actually look like.

Key question:

What kind of support should I expect from my EOR?

Access to knowledgeable humans matters more than dashboards when something goes wrong.

Part 4: The Compliance Gamble: Is Your EOR Putting You at Risk?

Many EORs process payroll - but quietly disclaim responsibility for outcomes. This post examines where legal and financial liability truly sits, and how to evaluate whether your provider can stand behind their work.

Key question:

Is my EOR legally responsible for compliance - or just processing paperwork?

Part 5: The Future of EOR: It’s Time for a True Partnership

The final post looks forward. It outlines what modern, partnership-driven EOR infrastructure should look like - and how companies can evaluate providers without relying on marketing claims.

Key question:

What features and commitments actually matter in a crypto-native EOR?

Why We’re Writing This Series

We created this series after watching too many crypto companies struggle with employment infrastructure that wasn’t designed for how they operate.

This isn’t about promoting a single solution or discrediting the entire EOR industry. It’s about raising the standard. Transparent information helps companies make better decisions - and pushes the market to evolve.

Use this series to evaluate any EOR provider, including your current one. The questions we raise and the criteria we outline should apply universally.

What You’ll Be Able to Do After This Series

By the end of this 5-part series, you’ll be able to:

  • Identify the real cost of your EOR relationship, including hidden operational overhead
  • Ask informed, crypto-relevant questions when evaluating providers
  • Understand where compliance liability truly sits
  • Spot red flags before they become business risks
  • Decide whether staying, switching, or restructuring makes sense

Start With Part 1: The Broken Promise of EOR

The first post in the series explores why the EOR model often breaks down in practice - and how companies can recognize when a provider is no longer serving them.

Read Part 1: The Broken Promise of EOR

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