Singapore-based crypto exchange Bybit has joined a long list of companies that have laid off some of their employees. With the cryptocurrency market going through turbulent times, companies are finding new ways to cut costs and stay afloat.
Crypto journalist James Wu first noticed the news about Bybit’s fired yesterday† He said the company will cut as much as 30% of its 2,000 employees. However, the company gave no indication of the size of its workforce or the number of people it has laid off.
“Bybit relies heavily on professionalism and fast execution capabilities. We are exploring a way to remove overlapping functions and build smaller but more agile teams to improve our efficiency. Beginning this week, some functions and roles will be reviewed to ensure we remain focused and agile,” the company said in a statement.
“To support a smooth transition of the process, affected colleagues will receive severance pay and access to career support for Bybit’s employees as they transition to work.”
Bybit said it has 6 million registered users with more than 190,000 users, who trade futures or spots on the exchange daily. The company had spent a lot of money on marketing in the past year, including a sponsorship deal with F1 team Red Bull Racing, reportedly worth $150 million.
Last week, Coinbase said it is cutting its workforce by 18% — nearly 1,100 people. Crypto.com CEO Kris also said the company is laying off 5% (260 people) of staff† Lending platform BlockFi was another company that wants to cut costs by giving 20% (850 people) of its employees a pink slip.
The Crypto market is currently facing a “winter” as the prices of various tokens and coins have fallen. Over the weekend, Bitcoin dipped below $19,000 and Ether dipped below $1,000, only to recover in recent days. Several crypto financial services firms such as Celcius and Babel Finance have frozen withdrawals as they try to fight the downturn in the market.
In an interview with NPR over the weekend, the founder and CEO of crypto exchange FTX, Sam Bankman-Fried, said the Fed’s hike in interest rates is fueling this crypto bear market.
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