Cuts 20% of Workforce Amid Industry Weakness

• has confirmed that it is planning on axing 20% of its workforce.
• The reason for the layoffs is the current economic headwinds and industry situation.
• CEO Kris Marszalek has attributed the decision to broader market weakness and the FTX crash., the Singapore-based cryptocurrency exchange platform, has confirmed its decision to lay off 20% of its current employees. This is the second major layoff carried out by the company, after they laid off nearly 260 employees in 2022, accounting for nearly 5% of its workforce.

The decision has been attributed to the current economic headwinds and industry situation. Two months prior to the decision, the CEO, Kris Marszalek, had mentioned that the exchange platform maintained adequate reserves for every single coin which the platform held. However, due to the collapse of FTX, the platform could not withstand the pressures and had to adopt measures to cut costs.

The FTX crash had caused a misappropriation of customer funds and eventually bankruptcy, which has gone on to affect the industry considerably. Marszalek stated that the platform had grown ambitiously at the start of 2022, building on its incredible momentum and aligning with the trajectory of the broader industry. However, the trajectory changed rapidly with a confluence of negative economic developments.

Although the platform had tried to reassure investors that the crypto exchange is in good financial health and has nothing to worry about, the current layoffs have caused a stir in the crypto community. The exchange platform has not specifically mentioned the positions that were laid off.

The decision to fire employees has led to questions regarding the exchange’s financial health and the future of the industry. Many investors have been left questioning if the layoffs are a sign of an impending doom or just a temporary measure to cut costs. It remains to be seen if the platform is able to bounce back from these layoffs or if it will be a sign of a difficult road ahead for the industry.