According to reports on Monday, Bybit is the latest crypto exchange to consider layoffs amid a catastrophic crypto crisis.
Bybit CEO Ben Zhou has informed his staff in an internal memo that the exchange was considering layoffs beginning this week. Colin Wu, a crypto writer, broke the news, citing various inside sources.
Bybit is far from the first cryptocurrency exchange to announce employment losses amid the continuing crisis. Coinbase, its larger rival, recently eliminated 18 percent of all positions after previously announcing a hiring restriction. Coinbase too suffered a significant loss in the first quarter.
The layoffs come in the midst of one of the greatest crypto downturns in recent memory. Since its peak in late 2021, the space has shed roughly $2 trillion in worth.
According to Zhou’s letter, which was released by Wu, while the exchange’s size grew exponentially over the last two years, its business did not rise at the same rate.
According to reports, the exchange is having issues due to internal inefficiencies. The exchange will now focus on streamlining internal functions, which will almost certainly result in job cuts.
According to a Chinese media report, the level of cutoffs is between 20% and 30% of Bybit’s overall headcount. It is also estimated that around 2500 individuals are currently employed by the exchange.
According to Coinmarketcap.com, Bybit is the 19th largest cryptocurrency exchange, with daily volumes of around $505 million.
Aside from Bybit and Coinbase, numerous other prominent exchanges have begun to decrease positions to minimize costs.
Gemini, led by the Winklevoss brothers, recently reduced its workforce by 10%. Crypto.com eliminated 5% of its personnel, while crypto lender BlockFi cut 20% of all positions. This year’s regulatory crackdowns have also influenced the latter.
On the other hand, despite the market meltdown, prominent exchanges Binance and Kraken have both added new positions, claiming operational strength.
