Original title: Crypto's Reverse Wage Gap

作者：Matt Stephenson、Ally Zach、Nick Zurick

Compiled by: TechFlow

 

We report on the results of Pantera Capital’s cross-sectional survey on blockchain industry compensation. With 502 respondents from the general population, the survey is the largest of its kind to date. Our analysis finds that the gender wage gap for crypto industry employees is the opposite of the general picture—women in our sample earn more than men.

Gender pay gap

Methodology

This study adopted a two-stage research design to address the potential issues of multiple hypothesis testing and p-hacking. Preliminary observations from the previous year's survey were considered as a pilot study and provided information for the current study.

Pilot study (previous year)

A gender pay gap was observed in the exploratory data analysis of the previous survey, but it was not reported as a finding due to the risk of false positives due to multiple comparisons. This approach is consistent with best practices to avoid type I errors and publication bias. Based on the pilot data, we conducted an a priori power analysis to determine the sample size required to detect the hypothesized effect in this year's survey. These results are presented here.

Confirmatory analysis:

The current study served as a confirmatory test. This approach allows for more reliable interpretation of p values ​​because it is not affected by multiple comparisons or post hoc hypotheses.

By taking this two-stage approach, we avoid the need for multiple comparison corrections, such as the Bonferroni method, which would be appropriate in a single study testing multiple hypotheses simultaneously. Instead, our approach is consistent with the concept of “out-of-sample validation” in predictive modeling, enhancing the robustness of our findings.

This methodological framework enhances the validity of our results and provides a model for rigorous hypothesis testing in exploratory areas such as cryptocurrency industry research.

Survey Methods and Results

Data collection was conducted between June 4 and July 20, 2024, using a web-based questionnaire disseminated through professional networks (LinkedIn), social media platforms (X), newsletters, and emails. The sample consisted of 502 US respondents who self-identified as male or female. Only full-time employees were included in the analysis.

An analysis of median base salaries shows that women at cryptocurrency companies earn 14.67% more than men. The median base salary for women is $172,000, compared to $150,000 for men, with women earning $1.15 for every dollar men make.

This difference is statistically significant (Mann-Whitney U test, p < 0.05) and goes against general labor market trends, in which women generally earn less than men. By regression analysis, we also observed a mean difference in favor of females (p < 0.05).

This result challenges the narrative of the gender wage gap, where women typically make only $0.84 for every dollar men make at non-crypto companies.

further analysis

Examining occupational groups more closely, producers and directors in the entertainment industry are the only other areas where women earn more than men. While pay is close to equal in other advanced degree occupations, the reality is that even in Web2 technology industries, men still earn significantly more than women.

This inverse wage gap may be partially attributed to differences in experience levels between genders. Women in the crypto industry tend to be more experienced, typically in mid-level to senior positions, with more than five years of experience in their current position. In contrast, more men occupy entry-level positions as they are transitioning into the crypto industry.

This “reverse” wage gap may indicate that the crypto industry offers better opportunities for women than in traditional fields.

It’s important to recognize that women may still face barriers and difficulties in this industry. However, the relatively fair compensation in the crypto industry shows that gender equality is moving in a larger direction and marks a progressive trend in this emerging field.