Crypto.com cuts 20% of jobs amid ‘unpredictable’ industry events • TechCrunch

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Crypto exchange Crypto.com is cutting its global workforce by 20%, it said Friday, as it navigates economic headwinds and “unpredictable” industry events.

It is the second major layoff at the company, which shed hundreds of jobs in the middle of last year.

“We have grown ambitiously at the start of 2022, building on our incredible momentum and aligning with the trajectory of the wider industry. This trajectory has changed rapidly with a confluence of negative economic developments,” Kris Marszalek, co-founder and managing director of Crypto.com, said in a blog post.

“The cuts we made last July allowed us to ride out the macro downturn, but that didn’t take into account the recent collapse of FTX, which significantly damaged confidence in the industry. It’s for this reason that, while we continue to focus on prudent financial management, we have made the difficult but necessary decision to make further reductions in order to position the business for long-term success.

As with companies in other sectors, crypto companies are aggressively making major decisions to survive the broader market downturn, which has reversed much of the gains from the 13-year bull run. Coinbase cut about 20% of its workforce earlier this week in its second round of major layoffs at the company. Kraken said in November that it planned to lay off 1,100 people, or 30% of its workforce.

Even then, Crypto.com had a particularly difficult last year. The company received criticism for its Matt Damon ad, accidentally sent an Australian client more than $10 million in a snafu, and grappled with industry concerns over its financial health performance.

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