The US-based cryptocurrency exchange Coinbase Global Inc. is reducing headcount in Japan as part of the firm’s move to cut 20% of staff amid a prolonged slump in digital-asset markets.
(Bloomberg) — The US-based cryptocurrency exchange Coinbase Global Inc. is reducing headcount in Japan as part of the firm’s move to cut 20% of staff amid a prolonged slump in digital-asset markets.
“Due to current market conditions, our company has made the difficult decision to reduce our workforce in Japan,” a spokesperson for the Japan unit said in a statement on Wednesday in response to Bloomberg News queries, without specifying how many local employees are impacted.
“No decisions have been made at this time beyond the reduction in workforce,” the spokesperson added. “We are carefully evaluating all options and will communicate any further updates as they become available.”
San Francisco-headquartered Coinbase Global is firing about 950 employees, a step Chief Executive Officer Brian Armstrong said was needed to weather the industry downturn. He added that several projects with a lower probability of success will be shut down.
The digital-asset sector has suffered a series of retrenchments, hammered by a $2 trillion rout in token prices from a 2021 peak and a series of blowups, most recently the bankruptcy of the FTX exchange.
- Read: Coinbase Eliminates 20% of Staff in Latest Round of Layoffs
“We are working closely with Japanese regulators to determine a timeline for our full transition,” the spokesperson for the Japan unit said, without elaborating. The spokesperson added the company is committed to providing affected employees a “comprehensive transition package.”
In June, Coinbase Global announced it would lay off 18% of its workforce, the equivalent of roughly 1,200 employees. It eliminated another 60 positions in November.
For crypto market prices: CRYP; for top crypto news: TOP CRYPTO.
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.