Crypto retrenchment persists with over 2,000 jobs lost in 2023
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Companies continued to retrench even as crypto prices staged a partial recovery.
PHOTO: REUTERS
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NEW YORK – The digital asset industry has shed more than 2,000 jobs in the first two months of 2023, with companies continuing to retrench even as crypto prices staged a partial recovery.
United States crypto exchange Coinbase Global this week indicated that more layoffs could be in store, after cutting 20 per cent of its workforce in January.
Exchanges’ revenues are reliant on retail trading, which has been slow to pick up after a wave of failures and scandals ripped through the sector last year.
Layoffs have been widespread among other types of cryptocurrency businesses too. Chainalysis, a company that specialises in tracking digital asset transactions and counts Singapore’s sovereign wealth fund GIC among investors, in early February announced job cuts.
Here are some of the crypto job cuts announced or reported so far in 2023:
Elliptic
The blockchain analytics firm is laying off 20 employees or about 10 per cent of its staff, DL News has reported.
Messari
The crypto data and exchange platform has cut 15 per cent of its workforce as part of a restructuring effort, according to crypto news outlet CoinDesk.
Immutable
The Australia-based blockchain gaming firm has made layoffs affecting 11 per cent of staff, according to The Sydney Morning Herald.
Polygon Labs
The main operator of Polygon blockchain announced that it has let go around 100 employees, or 20 per cent of its workforce, as part of a consolidation of business units.
GSR
One of the oldest market-makers in crypto eliminated about 20 positions in January, the second round of job cuts at the firm.
Magic Eden
The non-fungible token marketplace announced that it has cut 22 roles as part of a “companywide restructuring”.
Protocol Labs
The company behind decentralised file storage network Filecoin announced in a blog post that it will cut 89 roles across several teams, or 21 per cent of its staff.
Bittrex
The crypto exchange has laid off more than 80 people, as reported by CoinDesk.
Chainlysis
The company known for its crypto transaction tracking services said it has made layoffs affecting less than 5 per cent of its 900 employees.
Matrixport
The digital asset lender is shedding 10 per cent of its 300-strong workforce.
Luno
The crypto exchange owned by Digital Currency Group announced that it is reducing about 35 per cent of its workforce.
Bitcoin Suisse
The digital asset investment firm said it has cut some positions, but declined to give an exact number. A spokesman said it is “substantially below” the industry average of about 30 per cent of headcount.
Blockchain.com
The crypto wallet provider and exchange is letting go of 28 per cent of its workforce, or about 110 employees. It cut about 150 roles last year.
Coinbase
On Jan 10, the cryptocurrency exchange announced a reduction of about 950 employees, or 20 per cent of its workforce. Last June, Coinbase laid off 18 per cent of its workforce, the equivalent of roughly 1,100 employees, and eliminated another 60 in November.
ConsenSys
The Ethereum software company confirmed that it is eliminating 96 positions, representing 11 per cent of its total workforce.
Crypto.com
The crypto platform said it laid off about 20 per cent of its global workforce. This is on top of layoffs in the middle of last year.
Gemini Trust
The crypto exchange has eliminated another 10 per cent of its workforce.
Genesis Global Trading
The brokerage laid off more than 60 employees, or about 30 per cent of its workforce, on Jan 5. Last August, the company eliminated 20 per cent of its workforce.
OSL
The digital asset platform backed by Fidelity International is cutting costs by about a third, including a “headcount reduction”, according to Mr Hugh Madden, chief executive of parent company BC Technology Group.
Osprey Funds
The digital asset manager has laid off 15 employees and is currently operating with fewer than 10 workers, CryptoDaily reported.
Prime Trust
The crypto services company laid off about one-third of its staff late last month, largely in communications and compliance, CoinDesk reported.
Silvergate Capital
The crypto-friendly bank said in January that it is reducing headcount by about 200 people.
SuperRare
The non-fungible token marketplace reduced staff by about 30 per cent in January.
Huobi
The crypto exchange said in January that it is planning to cut 20 per cent of its workforce. The company has about 1,100 employees. BLOOMBERG
