Cryptocurrency companies are feeling the effects of the recent market crash and bearish industry, resulting in several entities laying off their employees as they cannot maintain their business to be as strong as before. 

The companies, including Crypto.com and BlockFi, have begun removing their employees from their tenure, and their executives express this bad news to the public as part of the ongoing changes in the market. 

Crypto.com, BlockFi Fires Employees Due to Bad Market

(Photo : JUSTIN TALLIS/AFP via Getty Images)
An illustration picture taken in London on May 8, 2022, shows gold plated souvenir cryptocurrency Tether (USDT), Bitcoin and Etherium coins arranged beside a screen displaying a trading chart.

Kris Marszalek of Crypto.com announced via Twitter what the company did during the dark times of the cryptocurrency crash that happened in the past weeks, and one of them is the layoffs it observed. Here, Marszalek said that the company reduced its workers by five percent, resulting in 260 personnel losing their jobs. 

Marszalek said that these decisions were difficult, but it was a necessary move that would help the company maintain its foot in the cryptocurrency industry, especially during these times. Other actions were also observed here, and all of the efforts they made were to ensure that the company would continue its operations. 

On the other hand, a blog post by BlockFi founders Zac Prince and Floria Marquez also told the world the reason why it laid-off employees, and it was due to the crypto crash. 

Read Also: Bitcoin's Value Dips Due to 'Extreme Market Conditions'

Binance Wants More Workers to Hire, Acquisitions

Compared to Crypto.com and BlockFi, Cahnpeng Zhao of Binance wants to add more employees to its company and work on its acquisitions to improve its operations during these trying times. It is a way for Binance to recuperate during these times and bounce back from what happened in the market. 

Cryptocurrency Industry: Falling?

There are other companies that resorted to freezing their hiring processes and accepting new employees due to the recent downfall of the industry, and one of the companies is the famous Coinbase. It is truly a trying time for cryptocurrency, and despite it regaining its strength and bouncing back in the current economy, there are losses it cannot bring back.

Many payment systems that border on cryptocurrency faced risks in the many happenings in the past weeks, and there are those that genuinely felt its struggle to maintain their operations. It is important to note that the market volatility is still a massive risk factor to individual investors and corporations that ride on the crypto trend now. 

One of the stable coins also crashed, and it is a testament to the hardships it faces now. 

Nevertheless, these layoffs are not something the company wanted during these times, especially as they would continue to hold on to these employees if the circumstances changed. Of course, the setup in most companies sees the "first in, last out" practice, meaning that most that were laid off are those that are new to their workforce. 

Related Article: Crypto Lender Celsius Stops Withdrawals, Transfers Amid Market Collapse

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Written by Isaiah Richard