As you said, they've got PayPal and even through bank account transfer, they can show it as income from other sources or income for services (like create an account at a freelance site, ask a local person to post an ad for hiring someone and then apply and get paid through that website via PayPal) or just show it like they write articles/news for online news outlets and seeing the way OP is talking here, I don't think he's got some big amount of BTC to get changed them to his/her local currency. There are a lot of ways available, they can even ask to their trustworthy friend in another country where such laws are not applicable, and then ask them to send him/her the funds via any online medium or bank transfer as that can be shown as a gift.