In line with Coinbase’s announcement that it will fire 950 employees, Crypto.com announced today that it would lay off 20% of its global workforce.
CEO of Crypto.com explained the reason behind the layoff
Co-founder and CEO of Crypto.com Kris Marszalek wrote a letter to staff members and shared it on social media to explain why the company decided to lay off employees. He cited a number of reasons, including ongoing financial difficulties and unexpected business events.
The CEO claimed that Crypto.com did not account for the loss of FTX. Along with Coinbase, Huobi, and SuperRare Labs, Crypto.com has announced layoffs due to the current crypto winter and the failure of Celsius, Voyager Digital, and FTX.
Today we announced the difficult decision to reduce our global workforce by about 20%.
— Kris | Crypto.com (@kris) January 13, 2023
Blockchain.com and Consensys appear to have let go of many of their personnel. The value of the Crypto.com CRO coin has decreased by 96% since the beginning of the year. As of this month, there are about 640 active addresses registered with CRO, down from 2,114 at the start of the year.
The layoffs at Crypto.com would be the company’s second in roughly six months after it already reduced employees in July of last year to prepare for the global economic downturn in the face of rising interest rates.