Blockchain.com Lays Off Employees, Crypto Companies Falling?

JAKARTA – In the midst of the decline in the crypto market in recent months, a number of companies from the industry experienced shocks. Not a few have started cutting employees.

Recently, crypto company Blockchain.com was rumored to have laid off a quarter of the company's staff. They also reportedly closed the office of a crypto company located in Argentina.

The mass layoff information emerged after Blockchain.com lost 270 million US dollars as a result of the collapse of Three Arrows Capital (3AC) some time ago.

About 150 employees have been laid off by Blockchain.com. The information was submitted by a company representative to Coindesk on July 21, 2022. Blockchain.com added that the salaries of company officials and CEO compensation were also cut.

Based on a report from one of the reporters, Ian Allison, said that Blockchain.com suffered financial losses due to bear market conditions that lasted for several months. He also revealed that the company had lost 270 million US dollars, as a result of the 3AC issue.

Then on Thursday 21 July, he explained that the recent 25% reduction has brought back the number of workers at Blockchain.com to what it was last January.

It doesn't stop there, the company also plans to discontinue certain sections after closing its branch office in Argentina. In addition, the company's efforts to provide institutional loan services, the NFT marketplace and others will be postponed.

Previously, a number of companies from the crypto industry had cut their employees due to the overall decline in crypto prices. These companies include crypto exchanges Robinhood, Coinbase, Bitso, Gemini, Bitpanda, Crypto.com, Buenbit, crypto lending platform BlockFi, 2TM, Rain Financial, and so on.

In addition to crypto trading and lending companies, popular NFT sales platform OpenSea is also reportedly cutting its staff by 20%. This mass layoff occurred in crypto companies as a result of the recent decline in the price of Bitcoin cs which has been exacerbated by the Terra LUNA incident.