About / Summary
Franklin is a web3-native payroll platform that allows you to pay your teams in fiat and crypto in a compliant manner.
Key Takeaways/Quick Facts
- Enables web3 companies to pay U.S. Employees in USD, Crypto, or a mixture of both.
- Platform was launched in September of 2022.
- Operates via blockchain, but enables transacting with traditional banking systems.
What it Does / Doesn’t Do
Does:
- Payment processing in USD, Crypto (Stablecoins) or a mixture, for contractor payments, W2 payroll, and expense reimbursements.
- Provides streaming on-demand payments which allows workers to claim their payroll in real time.
- Manages the required local, state, and federal withholdings and handles tax forms such as handling W2 and generating 1099 tax forms.
- Maintains transaction history which can be exported for company bookkeeping purposes, and provides a portal for workers to login to view pay stubs and payment history.
- Provides a mechanism for Direct Deposit (Bank and Crypto).
Doesn’t:
- Serve as an employer of record.
- Handle employment compliance requirements beyond taxation and record-keeping.
- Offer payroll for non-U.S. employees.
What Sets It Apart
Designed for Web3:
Franklin was launched by Serotonin, a marketing and product firm focusing on building, growing, and serving web3 companies as well as helping web2 companies move into the web3 space. The platform was created by a group of accounting professionals and technologists whose mission is to build financial tools for web3 companies. It enables web3 organizations to transact with traditional banking systems, creating a bridge among Crypto, fiat, and centralized banking institutions.
Built on Web3:
While other solutions exist for paying employees and contractors in Crypto, Franklin stands apart as a platform that was built on a foundation of web3 technology, operating on blockchain “rails” vs. institutional financial rails. This removes the “trust” element that is needed when relying on centralized institutions, reduces security vulnerability by way of decentralization, and enables more streamlined transactions by removing layers of dependency on human validation. As a Crypto-native payroll solution, Franklin can still connect with traditional financial institutions, make payments in fiat, and enable direct deposit payments.
“Streaming” Payments:
Turnaround for payments due to workers is essentially eliminated; no need for bi-weekly payroll schedules or traditional invoicing and manual accounts payable handling. Franklin enables workers to claim their pay in real time and receive streaming payment in response.
Who Uses It
No information available at the time of paper; product was launched in beta in September 2022.
