Blockchain.com cuts 25% employees due to harsh market conditions – Bits Media

Major US cryptocurrency exchange is reducing its presence in Latin America, and also suspends expansion into gaming and non-fungible tokens.

Blockchain.com lays off 25% their employees, which is about 150 Human, due to "harsh market conditions". Besides, the company emphasized the need to cover financial losses: Currently the exchange has a lack of $270 million from lending to hedge fund Three Arrow Capital.

The exchange announced, that will close its offices in South America, and will also cancel plans to expand the team in several countries. According to company statistics, about 44% laid off employees are in Argentina, 26% in the USA and 16% in the UK. One of the CoinDesk experts reported:, that such changes will return the company to the state of January 2022 of the year.

Blockchain.com says, that the greatest demand for its services comes from the United States, Europe and Africa, not Latin America. Also, exchange clients most often use brokerage services, than any others.

For the latter 16 months the company increased its staff from 150 to 600 employees. Efforts, which the company is making, to accumulate funds, neutralize the consequences of the collapse of Three Arrow Capital, top managers assure. Besides, the company is reducing its institutional lending business and ending all mergers and acquisitions, and also suspends activities to expand its business in the field of games and NFTs.

Executive salaries and CEO compensation are also being cut., assured the company representative. Consumer income remains strong and strong; Institutional income unchanged, but didn't rise either, and he will need time to recover, добавил представитель.

Recall, ранее криптобиржа заявила, что намерена подать заявку на публичное размещение акций (IPO) в Комиссию по ценным бумагам и биржам США (SEC) already this year.