Crypto Crash and LayOffs

Crypto firms were on a hiring spree as the Crypto market was booming but in recent times when the crypto market has fallen, we are seeing a lot of employees of the crypto firms are getting laid off as because the business in the crypto industry is reeling. So we all know that because of global market conditions Shares and Crypto markets are nose dipping and thus it leads to the hiring freeze and layoffs, mainly of the crypto-focused companies as their profit is drying up.

The market cap of cryptocurrency as a whole has fallen from $1 trillion to $926 billion. So because of that, some the companies like Coinsbase have announced that they will lay off 18% of the workforce, Blockfi will lay off around 20% of their workforce, and Crypto.com will lay off 5% of their workforce.

PC: Twitter.com

One of the reasons I can think of is that Profits have gone down and the companies who have hired in 2021, post covid, are actually not able to make that much profit which they should have all because o the prices going down and because of that we are seeing a lot for companies are doing layoffs mainly companies which associated with Cryptos.

They are trying to bring down their expenses by cost-cutting measures like these along with reducing marketing spending and other things. This is the problem when the recession looms because then you will see that the hiring gets freeze and there are mass layoffs around the world, and do not forget the inflation which is like peaking all over the world. So we will see more of these types of layoffs in the future if the market condition is not improved.

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