The chief executive of Crypto.com is announcing a cut to the firm’s global workforce as the digital asset markets attempt to mount a recovery.
In a new company blog post, Crypto.com co-founder and CEO Kris Marszalek says that he’s going to slash the firm’s workforce by 20% due to unpredictable events within the industry, such as the recent high-profile collapse of crypto exchange FTX.
“Today we made the difficult decision to reduce our global workforce by approximately 20%…
Several factors played into our decision to reduce headcount. While we continue to perform well, growing to more than 70 million users worldwide and maintaining a strong balance sheet, we’ve had to navigate ongoing economic headwinds and unforeseeable industry events.”
According to Marszalek, even though Crypto.com already made cuts to its workforce in mid-2022, it wasn’t enough to deal with the unforeseen disintegration of FTX.
“The reductions we made last July positioned us to weather the macroeconomic downturn, but it did not account for the recent collapse of FTX, which significantly damaged trust in the industry.
It’s for this reason, as we continue to focus on prudent financial management, we made the difficult but necessary decision to make additional reductions in order to position the company for long-term success.”
The CEO goes on to praise patient investors maintaining conviction through the crypto winter, predicting that they will be the ones that will ultimately reap the rewards.
“Today serves as a good reminder that markets won’t be down forever. Those who kept on building and HODLing, even when it was hard, are those who inevitably will be rewarded.”
To start the year, crypto markets have posted a noticeable recovery as the top two leading digital assets by market cap, Bitcoin (BTC) and Ethereum (ETH), have seen increases in price.
BTC is changing hands for $20,875 at time of writing, a 26% increase since the start of the year while ETH is moving for $1,529, a 27% rise during the same time frame.
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