Crypto exchange Rain Financial cuts jobs amid latest decline in digital assets

The firm said the job cuts were made to reflect “operational needs and market conditions”, although the firm did not specify the number of people made redundant.

“As a business, we have had to adjust our future plans given these difficult market conditions to ensure we can navigate through this downturn,” Rain Financial said.

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Rain Financial is not the only firm to reduce its staff. Several crypto firms have laid off their employees citing a downturn in the crypto market.

In accordance Moneyweb, around 5,000 crypto employees have lost their jobs since April. San Francisco-based Coinbase made the biggest job cuts in the crypto market in 2022, data from Layoffs.fyi shows. In June, the company announced that it would lay off 1,100 people.

Following the footprints, Singapore-based crypto exchange Bybit cut staff and laid off as much as 30% of its 2,000 employees, reported Pre-sale of crypto.

Even before the crypto market crashed, crypto exchange Huobi Global laid off around 300 people or 30% of its workforce.

Cryptocurrency exchange Crypto.com also cut 260 employees in June alone, citing the decline in the crypto market.

According to the data, collected by CoinDesk – which monitors crypto layoffs – Genesis, brokerage Robinhood, Blockchain.com cut 25% of their staff, NFC marketplace OpenSea saw 20% job cuts, Ignite cut more than 50% and crypto exchange CoinFLEX has cut 50 percent.

Coinchange CEO Maxim Galash expressed his opinion about the latest job cuts, saying that crypto companies like him have overstaffed during the bull market and now have to scale back quickly.

“Now that the air is coming out of the market, they need to quickly cut staffing costs to stay afloat and weather a downturn that could be exacerbated by the worsening economic outlook. In other words, hire slow, fire fast. Layoffs are painful, but we’re doing what needs to be done to sustain and grow the business: prioritize long-term shareholder value over short-term pain,” Fortune magazine Galash was reported to say.

This year, crypto prices fell from the peaks reached in early November.

With input from Bloomberg.

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