• Crypto.com announced that it is laying off around 20% of its workforce in response to negative economic developments.
• Coinbase and Huobi have also recently announced layoffs in response to the current market conditions.
• The Cronos (CRO) token price has responded positively to the news.
Crypto.com, a leading cryptocurrency exchange, has today announced that it is laying off around 20% of its workforce due to negative economic developments. The announcement comes just days after Coinbase and Huobi also revealed plans to lay off a significant chunk of their employees in response to the current market conditions.
Kris Marszalek, the co-founder and CEO of Crypto.com, said that the decision to reduce the workforce was a difficult one. In a statement, he said: „Today we made the difficult decision to reduce our global workforce by approximately 20%.“ He further added: „We grew ambitiously at the start of 2022, building on our incredible momentum and aligning with the trajectory of the broader industry. That trajectory changed rapidly with a confluence of negative economic developments.“
Crypto.com has around 3500 to 4500 employees, and the 20% layoffs would affect about 700 to 900 employees. It is estimated that the company has around 400 employees in its US offices, and the majority of the layoffs would be in the US.
The news of the layoffs has been met with mixed reactions from the crypto community. Although some are sympathetic to the company’s decision, others have criticized the firm for not being able to handle the current market conditions.
Despite the layoffs, the Cronos (CRO) token price has responded positively to the news. The token has been one of the few cryptocurrencies that have seen a steady increase in the past few days.
The layoffs come as a reminder that the crypto market is still volatile and unpredictable. However, it is also a sign that crypto firms are learning to manage their resources better in order to survive in the long run.