Cryptо winter continues to affect the blockchain-related companies and exchanges. As a result, a lot of cryptо companies started to reduce its workforce in order to survive the downturn of the industry. Worldwide popular cryptocurrency exchange Crypto.com wasn’t an exception.
Slashing the Workforce to Survive Economic Decline
Сryptocurrency exchange Cryptо.com has reduced its workforce by twenty percent by reason of current economic difficulties and unexpected industry changes. It is the second time the company dismisses a large number of its employees since last year, when Cryptо.com fired about 250 people, even though some reports claimed that more than two thousand workers were discharged.
The company did not comment on which positions were mostly asked to leave in the latest round of massive layoffs.
According to Kris Marszalek, co-founder and Chief Executive Officer of Crypto.com, in early 2022 the company prospered exponentially, developing unstoppable momentum and streamlining processes to become an industry giant. Unfortunately, the development was stopped due to negative economic conditions.
Other crypto companies are also making hard decisions to stay afloat in the current decline of the market. For example, Kraken company announced in November that it has decided to discharge thirty percent of its entire workforce, which is more than a thousand employees.
Despite of the fact that a bunch of huge events took place in the market, 2022 was a difficult year for Crypto.com. The company was criticized for its commercial starring Matt Damon and for sending ten million dollars to a random Australian user by mistake.
In spite of all these incidents, Crypto.com received a vote of confidence from auditing company Mazars, which claimed that Crypto.com’s customers’ crypto assets were entirely backed one-to-one. Although, what is more surprising is that the next day Mazars declared that they had halted their projects with crypto companies.
Marszalek, in his blog post, explains that the layoffs that were made in July helped the company survive the economic decline. According to his opinion, the real problem is that fall of FTX, which has massively hurt the industry, was not taken into account.
Summary
- Crypto.com has reduced its workforce by twenty percent by reason of current economic difficulties.
- The company did not comment on which positions were mostly asked to leave in the latest round of massive layoffs.
- The layoffs are expected to help the company survive the economic decline in the industry.
Source
https://www.coinspeaker.com/
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