Executive Summary
This comprehensive analysis examines compensation trends across 49 crypto-focused companies in 2023, covering salaries, equity, and token-based rewards for roles such as software engineers, product managers, and executives. Key findings highlight disparities between U.S. and international firms, emerging tokenization strategies, and evolving cost-of-living adjustments.
Methodology & Key Considerations
Survey Scope
- Data Source: 49 portfolio companies across seed to Series C stages.
- Focus Areas: Compensation structures (cash, equity, tokens), founder salaries, and geographic pay adjustments.
- Limitations: Sample size may not represent industry-wide practices; treat insights as directional.
Definitions
- Crypto Engineers: Protocol/blockchain developers.
- GTM Roles: Sales, marketing, and business development (includes commissions).
- International: Companies headquartered outside the U.S.
Reporting Methodology
- Salary ranges: Preset bands aggregated to show min/max averages.
- Founder compensation: Median values from self-reported data.
- Token/equity: Combined metrics where applicable.
Compensation Benchmarks by Role
Salary Ranges (Annual)
| Role | U.S. Companies ($) | International ($) | Delta |
|---------------------|--------------------|-------------------|-------|
| Software Engineer | 120K–180K | 105K–160K | +13% |
| Crypto Engineer | 140K–220K | 125K–190K | +12% |
| Product Manager | 130K–200K | 110K–170K | +15% |
👉 Explore real-time salary data for crypto roles
Equity & Token Compensation
- U.S. dominance: 30% higher equity/token packages vs. international peers.
Outliers:
- International product designers’ token packages rival U.S. levels.
- GTM executives at international firms outearn U.S. counterparts in equity.
Founder Compensation Trends
- Pre-Series B: Most founders earn below-median salaries.
- Equity dilution: Ownership decreases post-Series A (U.S. founders retain higher %).
- International gaps: Limited data for Pre-Seed and late-stage rounds.
Geographic Pay Adjustments
Cost-of-Living (COL) Strategies
- 73% of firms do not adjust pay for COL.
Adjusted methods:
- Local market pricing (most common).
- Tiered geographic frameworks (e.g., metro radius tiers).
Labor Cost vs. COL
- Emerging shift: Companies eye labor cost models (pay based on role demand vs. location expenses).
- Challenges: Lack of real-time crypto job market data.
Pro Tip: Early-stage startups often skip COL adjustments to remain competitive in hiring.
Payment Methods: Fiat vs. Crypto
- 82% of payments: Traditional fiat (USD, EUR).
Crypto use cases:
- Cross-border payroll (USDC for international contractors).
- Tax optimization in select jurisdictions.
👉 How crypto payroll simplifies global teams
Token Adoption by Companies
Key Stats
- 86% of firms plan to/currently issue tokens.
- Infrastructure leads: 75% of L1/L2 projects already tokenized.
Sector breakdown:
- DeFi/GameFi: High token integration (governance, rewards).
- Consumer apps: Experimental token models.
Funding Stage & Tokenization
| Stage | Tokenized (%) |
|------------|--------------|
| Seed | 35% |
| Series A | 60% |
| Series B+ | 80% |
Token Compensation Models
Calculation Methods
- Market-Value Approach: Tokens priced at FMV during grant (volatility risk).
- Token Percentage: Fixed % of token pool (equity-like, reduces dilution).
- Hybrid: Mix of equity + tokens (common in GameFi).
Trend: Late-stage firms favor market-value methods; early startups prefer token %.
FAQ Section
Q: How do U.S. salaries compare to international crypto roles?
A: U.S. roles pay 13% higher in cash and 30% more in equity/tokens on average.
Q: What’s the most common token compensation method?
A: Token percentage (fixed pool allocation), used by 58% of early-stage firms.
Q: Do companies adjust pay for remote workers’ locations?
A: Only 27% use COL adjustments; most pay local market rates.
Q: Which sectors are most likely to issue tokens?
A: Infrastructure (75%), followed by DeFi (65%) and gaming (55%).
Future Report Enhancements
- Broader participation: Expand survey beyond portfolio companies.
- Longitudinal data: Track annual trends post-2023.
- Founder equity/token splits: Separate metrics for clearer insights.
Disclaimer
- Source: Adapted from Dragonfly’s 2023 Compensation Report. Original authors: Zackary Skelly & Chris Ahsing.
- Not financial advice: Opinions reflect survey data only.
Gate Learn Team – Translated and optimized for SEO.
### Key SEO Elements Integrated:
- **Keywords**: crypto salaries, token compensation, equity vs. tokens, remote pay adjustments.