<\/p>\n
The crypto and tech industry has seen a slew of staff cuts this week against a backdrop of difficult market conditions, though on a positive note, some are bucking the trend.<\/p>\n
Crypto companies, including crypto exchanges, venture capital firms and blockchain developers, have been forced to reduce headcount in order to stay nimble amid the bear market<\/a>. Some, however, have done the opposite, opening up offices in new locations and markets.<\/p>\n It comes a few weeks after multiple high-level executives, such as OpenSea\u2019s<\/a> former chief financial officer, Kraken\u2019s co-founder<\/a> Jesse Powell and Ripple Labs\u2019 engineering director<\/a>, have all made headlines for either exiting or stepping down from their roles in the space.<\/p>\n Patrick Collison, CEO of payments processor Stripe, said in a Nov. 3 memo that\u00a014% of the firm\u2019s staff \u2014 around 1,000 employees \u2014 would be laid off<\/a>, citing \u201cinflation, energy costs, higher interest rates, reduced investment budgets, and sparser startup funding\u201d as reasons for the cuts.<\/p>\n Collison added it \u201coverhired for the world we\u2019re in,\u201d saying Stripe was \u201ctoo optimistic\u201d about short-term e-commerce growth, underestimating the impact of a wider market downturn and that its operating costs grew too quickly.<\/p>\n The memo says the headcount changes will be uneven across Stripe, and it\u2019s unclear what departments will be affected or how it will affect the crypto side of its business. The payments startup\u00a0released a crypto payouts product<\/a> in April for Twitter creators.<\/p>\n Flow blockchain developer Dapper Labs made the decision on Nov. 2 to cut 22% of its headcount, impacting<\/a> roughly 130 employees in a memo by founder and CEO Roham Gharegozlou.<\/p>\n Gharegozlou said the \u201cmacroeconomic environment\u201d and the company\u2019s growth from 100 to over 600 employees in less than two years prevented the firm from being \u201cas aligned, nimble, and community-driven as we need to be.\u201d<\/p>\n He said Dapper Labs \u201cstreamlined and focused\u201d its product strategy around a \u201cmore sustainable cost structure\u201d and looked at the skills it needed for the future when deciding who to lay off.<\/p>\n Web3 conglomerate and venture capital firm Digital Currency Group (DCG) let go of around 10% of its workforce, according<\/a> to a Nov. 1 Bloomberg report that saw 10 employees exit the company bringing its headcount to a total of 66.<\/p>\n The cuts were reportedly part of a restructuring with Mark Murphy, DCG\u2019s chief operating officer, also promoted to president, a spokesperson said DCG \u201cmade a series of internal changes\u201d to position the company \u201cfor its next phase of growth\u201d that included \u201cstreamlining\u201d of departments.<\/p>\n Cointelegraph contacted DCG to confirm the report but did not receive a response.<\/p>\n Galaxy Digital, the crypto firm founded by Michael Novogratz, is also looking at a potential staff cut of around 20% \u2014 as much as 75 positions \u2014 as per a Nov. 1 Bloomberg report\u00a0that cited<\/a>\u00a0sources familiar with the matter.<\/p>\n The company neither confirmed nor denied the rumors, with a spokesperson only saying the firm is \u201cconsidering optimal team structure and strategy.\u201d Yahoo Finance data shows shares of Galaxy Digital are down around 76% year to date, alongside a similar drawdown in crypto prices.<\/p>\n Galaxy Digital was contacted by Cointelegraph to verify the report but did not receive a response.<\/p>\n Crypto exchange BitMEX is also making drawdowns across its employees in conjunction with a strategy to pivot away from spot trading and custody services and instead refocus on crypto derivatives.<\/p>\n A BitMEX spokesperson told Cointelegraph on Nov. 1 that an earlier report citing 30% of staff would be cut was \u201cinaccurate and too high,\u201d but with its focus back on derivates trading, an \u201cundesirable consequence\u201d was that \u201cwe had to make changes to our workforce.\u201d<\/p>\n The now former chief product officer for crypto exchange Coinbase, Surojit Chatterjee, in a Nov. 3 LinkedIn post revealed<\/a> he had left his position at the company saying \u201cit\u2019s time to get off the ride and catch my breath.\u201d<\/p>\n After nearly 3 incredible years as CPO @coinbase<\/a>, I\u2019m taking a breather & stepping down. Thanks to the entire CB team – I\u2019m looking forward to continuing to serve @brian_armstrong<\/a> and the exec team as an advisor. I\u2019ve shared some reflections here: https:\/\/t.co\/y5qM9VaJ36<\/a><\/p>\n \u2014 surchatt.eth (@surojit) November 2, 2022<\/a><\/p><\/blockquote>\n Chatterjee\u2019s stint at Coinbase lasted three years but said he\u2019d continue to help the company by serving as an adviser to its CEO Brian Armstrong. He said the personal break comes to spend more family time after his father was diagnosed with Alzheimer\u2019s disease and his mother unexpectedly passed away.<\/p>\n An Oct. 28 Securities and Exchange Commission (SEC) filing<\/a> by Coinbase says with Chatterjee\u2019s departure its product, engineering and design teams \u201care being reorganized within a product group structure under which the leaders of such groups will assume responsibility for Coinbase\u2019s product offerings.\u201d<\/p>\n Meanwhile, crypto exchange OKX appears to be looking to scoop up staff and\u00a0said<\/a> on Nov. 3 it plans to fill 100 job openings.<\/p>\n Related: <\/em><\/strong>Fidelity to beef up crypto unit by another 25% with 100 new hires<\/em><\/strong><\/a><\/p>\n The open positions will only be available to Bahamian local talent as OKX registered as a digital asset business in The Bahamas, forming a new subsidiary to serve as the company\u2019s regional hub and opening an office in the archipelagic nation\u2019s capital city Nassau.<\/p>\n At least 130 new hires based in Singapore will be added over the next three years at blockchain infrastructure firm Paxos, according<\/a> to a Nov. 2 Bloomberg report, after its local unit received a license<\/a> to offer digital token payment services.<\/p>\n Paxos Co-founder Rich Teo said up to 180 might be brought in over the three years which would boost its headcount to around 200, a nine-times increase from its current team of 20 in the city-state.<\/p>\n In October, $4.5 trillion asset management firm Fidelity Investments told Coin telegraph it is set to hire another 100 people<\/a> to bolster the firm\u2019s growing digital assets division.<\/p>\n Fidelity, in a statement to Coin telegraph, said that the firm was in a \u201cunique position\u201d to offer exposure to the \u201cemerging\u201d digital asset sector \u2014 as its reasons for pushing for more talent to bolster its Digital Assets arm.<\/p>\n\nStripe cuts around 1,000 staff<\/h3>\n
Dapper Labs cuts 22% of headcount<\/h3>\n
Digital Currency Group lays off 10% of staff: Report<\/h3>\n
Galaxy Digital reportedly eyeing 20% workforce drawdown<\/h3>\n
BitMEX makes staff cuts amid strategy pivot<\/h3>\n
Coinbase CPO quits to take a breather<\/h3>\n
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OKX opens in the Bahamas \u2014 plans to hire 100 locals<\/h3>\n
Paxos adding 130 heads in Singapore<\/h3>\n