Crypto Giants Have Different Reactions to the Bear Market

Job losses: Although cryptocurrencies have been in free fall since late 2021, the effects are now being felt in job openings. In the world of tech and crypto, only Binance seems to be doing well.

Currently, there is a difficult international economic situation with rising inflation and the onset of a broader economic crisis. There is still war in Europe. And there is the fear of over-regulation of cryptocurrencies.

Stablecoins are meant to be stable, as their name suggests. But they brought more fear than comfort.

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Job loss: Crypto platforms in trouble

Due to the current uncertainty, Bitcoin price is stuck in a range between $28,000 and $32,750. And now job suspensions are happening in the crypto industry.

It was Coinbase that first attracted attention with the announcement of the temporary suspension of recruitment and the cancellation of recently awarded positions. Although Coinbase is the most popular exchange in the US, current market conditions would limit the application of their roadmap.

In this regard, LJ Brock, the chief of staff, said: “In response to current market conditions and continued efforts to prioritize operations, we will be extending our hiring hiatus for new and replacement positions in the near future. We have accepted offers.”

Meanwhile, Gemini, another major exchange, made a similar announcement to Coinbase. They plan to reduce the current workforce by 10%. Billionaire twins Cameron and Tyler Winklevoss split their workforces between traditional and cryptocurrency markets. This is to focus more on the most critical matters of their business.

Frank Corva, Principal Crypto and Blockchain Analyst at Finder, said: “These layoffs and hiring freezes probably have more to do with crypto and traditional markets being down and financial conditions tightening in all areas. employees are tight as crypto markets and the crypto industry remain against the ropes.

The Struggling Technology Sector

The situation is difficult for many companies. Tesla and its CEO Elon Musk are looking to cut its workforce by a tenth amid the bleak outlook for the economy.

Convinced that a coming recession threatens the United States and the rest of the world, Musk reportedly contacted Tesla to suspend hiring and also told all Tesla teams to stop telecommuting and return to the office. or quit their job.

In 2021, nearly 100,000 employees worked for Tesla; breaches of contract can therefore be significant.

Binance: The Only Survivor?

On the other hand, Binance seems to be experiencing a completely different situation. The company continues to perform well both economically and legally with successful launches in France and Italy. Binance says they have 900 more job openings worldwide.

This situation is a far cry from other crypto platforms that are suffering from a crypto winter. So while Coinbase and Gemini are trying to downsize, Binance is instead pursuing an offensive strategy of staffing its workforce with additional employees.

Job losses: While cryptocurrencies have been in free fall since late 2021, the consequences are now hitting vacancies

Source: Binance Careers

An announcement was shared on Twitter by the Binance US profile mentioning the recruitment. This announcement is dated June 3rd last year and was published as Coinbase and Gemini decisions were on the rise.

Surprised by the opposing strategies of Binance and those of Gemini and Coinbase, CoinGecko co-founder Bobby Ong wondered how the finances of certain exchanges are managed.

“We’ve only been in the bear market for a few months and exchanges are firing people and canceling jobs. How poorly managed are your finances and staff? You are one of the most profitable sectors in cryptocurrencies, with billions in profits in 2021.”

As Bobby Ong testifies, the situation is surprising given the good economic health of Binance.

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