Australian-Based Crypto Exchange Banxa Cuts 30% of Workers

Australian-Based Crypto Exchange Banxa Cuts 30% of Workers

One of the people affected by the significant layoff was managing director of Europe Jan Lorenc.

The Australian-based cryptocurrency exchange Banxa is reportedly reducing its staff from 260 workers to 160, with 70 people in total affected by the downsizing. This means that 30% of employees are now counting their last days in the company.

According to the official announcement released today, falling trading volumes and a huge number of workers were the two main reasons why the company decided to carry out the initiative and leave many people jobless.

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

What is Yield Farming in Crypto? (Animated Explanation)

What is Yield Farming in Crypto? (Animated Explanation) What is Yield Farming in Crypto? (Animated Explanation)

Holger Arians, the CEO of Banxa, stated that the crypto payments operator must take drastic action such as this in order to survive the current crypto bear market. Arians continued and added this in the message to Banxa’s staff:

"Our employee costs remain too high for us to be able to continue to operate in our current structure."

On top of that, one of Banxa’s spokesman mentioned that with the layoff, the exchange will be able to stay more focused in the light of catastrophic market conditions after Banxa faced a “hyper-growth” in the last 18 months.

In fact, Banxa joins the massively growing list of crypto-related organizations that are downsizing. For instance, earlier this year, Coinbase released over a fifth of its workforce, whereas Gemini and also followed the same path and fired 10% and 20% of their team members, respectively.

On the other hand, although many significant companies are firing their employees, it seems that there is actually a glimmer of hope for the unemployed. A few weeks ago, the Bahama’s crypto exchange FTX stated that it would be searching for new talents despite the fact that bears still reign supreme in the crypto market. Likewise, Binance followed the same path and promised to bring in 2000 more employees.

Gyth L. - Crypto Analyst

by Gyth L. - Crypto Analyst, BitDegree