After already making layoffs in the previous months, crypto exchange Coinbase has announced that it will be shedding 950 employees in order to save money and survive this tough crypto winter.
Coinbase CEO Brian Armstrong announced the bad news to employees in a blog post. An announcement that was not published on the company’s Twitter account.
We need to ensure that we have the appropriate operational efficiency to deal with the downturns in the crypto market and seize opportunities that may emerge. I have therefore made the difficult decision to reduce our operating expenses by approximately 25% T/T, which includes laying off approximately 950 people. All affected team members will be notified by today.
In 2022, the publicly traded cryptocurrency exchange platform had already cut its workforce twice due to market conditions. Once in June and then a second time in November.
While it’s always painful to part ways with our colleagues, it wasn’t possible to cut our expenses enough without factoring in the staffing changes. In a downsizing like this, we will be closing several projects where we have a lower probability of success.
Coinbase is not the only crypto company in this situation, Kraken, BitMEX, CryptoCom, and many others have also made massive layoffs in recent months.