In the midst of a crypto bear market, crypto.com has reportedly laid off an additional 260 employees, bringing the total number of layoffs to 520 or 10% of its workforce. This comes after the company initially let go of 260 employees in June.
The first batch of employees was in less-demand roles like customer support, the source said. This time around, “they’re cutting everyone—even the product teams that have been driving crypto.com’s growth,” they said.
The company has not announced these latest layoffs publicly, and during a recent “all hands” call, leaders expressed that they had no intention of doing so. This is likely due to concerns about how it would look to investors and other stakeholders in light of the current market conditions.
An anonymous Crypto.com employee who is in a managerial role and whose identity has been verified by Decrypt confirmed the layoffs to Decrypt. Two other current employees also confirm the rumors of widespread layoffs at Crypto.com. As reported by Decrypt.
These layoffs are yet another example of the challenges faced by crypto and tech startups in the current environment. With funding drying up and valuations plummeting, many companies are being forced to make tough choices in order to stay afloat.