• Bittrex, a Seattle-based cryptocurrency exchange, is laying off more than 80 people due to the “new economic environment.”
• This comes after multiple failures in the crypto ecosystem and sharp declines in cryptocurrency prices.
• Many other exchanges such as Gemini and Coinbase have also announced layoffs recently.
Bittrex Laying Off More Than 80 People
Bittrex, a Seattle-based cryptocurrency exchange, is reducing its staff by more than 80 people due to the „new economic environment,“ according to CEO Richie Lai. He cited market downturns triggered by multiple failures in the crypto ecosystem as the primary reason for the cuts.
The company had been working „aggressively“ to reduce expenses and increase efficiencies but were not successful, according to an email sent out by CEO Lai. The layoffs affected at least some employees in most departments across Bittrex. This comes after sharp declines in cryptocurrency prices and the collapse of major crypto firms such as FTX exchange.
Job Losses Across Crypto Industry
CoinDesk estimates that since April more than 29,000 jobs have been lost across the crypto industry due to media reports and press releases about layoffs from companies like Gemini and Coinbase. They announced a third round of job reductions this January alone.
Crypto Market Recovery?
It remains unclear when or if these losses will be recovered as cryptocurrencies continue to see volatility amid uncertainty surrounding regulations from different countries worldwide. Though it appears that many investors are betting on future price increases as institutional investments pour into bitcoin and other digital assets over recent months.
The overall effects of this mass job loss are yet unknown, but it is clear that both exchanges and their customers are feeling the pinch during this period of economic hardship brought on by COVID-19 pandemic and other issues related to global markets..