Blockchain workers in Canada earn twice as much as the Canadian average wage.
Depending on the company, salaries in this industry can be even higher than that. If the Canada blockchain ecosystem had support to scale, these organisations could create even more high-paying jobs in the coming years.
The main aspect that is slowing down growth in this industry is the lack of specific laws regarding digital assets. Canadian blockchain-based start-ups need a legal framework in order to thrive and scale.
Canada’s Chamber of Digital Commerce (CDCC) analysed the Canada blockchain ecosystem and released an in-depth report on the industry and its challenges. The key findings are below.
The Canada blockchain ecosystem: employment and average wages
According to the survey conducted by the CDCC, the average salary of a Canadian blockchain employee is $98,423 per year. That’s almost double the national average, which was $52,052 in 2018. The same report revealed that some companies pay even more, reaching an average annual wage of $133,750.
The Canada blockchain industry is looking for skilled employees and is willing to pay high prices to get them on board. Nevertheless, Canadian start-ups face a talent shortage and are often in the position of hiring people outside the country.
Developers with a good understanding of blockchain technology are still rare in Canada, so more than half of its companies have international employees.
The most necessary skills are in the areas of blockchain technical engineering. The ecosystem also needs specialists in business and product development, security, solution architecture, and legal compliance.
In this industry, a person’s skills in developing blockchain-based solutions are far more important than their level of education. Of the companies surveyed, 55% hire people with undergraduate degrees. Only 21% of businesses looked for employees with Master’s degrees.
Higher wages could come with clearer regulation
Canadian salaries are still below the global standard. Worldwide, blockchain professionals have average wages of between $83,958 and $178,577 per year. So, there’s room for better salaries, if the companies continue to develop.
However, most players in the Canada blockchain arena have been slowing down due to a series of challenges. The industry had an explosive start, with many companies entering the market in the past five years. However, a lack of transparent laws and regulations limits significant investments and keeps companies from scaling up.
Currently, Canada doesn’t have any specific cryptocurrency regulations or blockchain laws to provide consistent legal support for business growth. The inconsistency of policymakers in this field leads to a series of consequences for blockchain companies.
From securities law to taxation rules, companies have to juggle with many uncertainties that scare potential investors, leaving start-ups without funds. Moreover, without a proper legal framework, blockchain-based organisations don’t have access to dedicated business services and miss out on key growth opportunities.
Most blockchain companies in this country also struggle to obtain banking and audit services. They often rely on small providers, as the leading businesses in the industry don’t provide services to crypto-related companies.
Last but not least, the Canada blockchain ecosystem could use some government support and tax exemptions. Unfortunately, the lack of clarity in this area as well makes it hard for start-ups to apply for and receive any incentives.
Critical times for the Canadian blockchain community
In the last five years, the compound annual growth rate for the Canada blockchain industry was of 73.3%. That’s the highest rate worldwide. Despite the lack of clarity in regulations, the country leads the way in blockchain development.
Start-ups made Canada a global blockchain hub, with activity in all major cities, from Toronto to Vancouver and Montreal.
Businesses focus on a wide range of areas, including trading, international payments, banking, marketplaces, data storage, and supply chains. Large organisations, such as Air Canada or The Canada Border Services Agency, have already partnered with blockchain-based suppliers to streamline their operations.
Companies are no longer experimenting with blockchain technology in this country. They’re ready to take their businesses to the next level and disrupt most of Canada’s industries with cost-effective solutions.
A regulatory environment is missing from this landscape, and it’s having nasty side effects on blockchain innovation and growth.
Canadian entrepreneurs need lawmakers’ support to innovate and embrace new technologies so that they can get ahead. The CDCC considers new regulations a top priority, as their existence would allow Canada to become a leader in digital innovation worldwide.
In such a scenario, the Canada blockchain ecosystem would grow, creating new job opportunities. More people would have the chance to earn more by working in this industry, with positive effects on the national economy.