Crypto Giant Begins Rescinding Offers Amid Hiring Freeze as Market Continues to Tumble

Crypto Giant Begins Rescinding Offers Amid Hiring Freeze as Market Continues to Tumble thumbnail

It seems to be the season for mass layoffs , and red alarms sounding in many industries, particularly in the world crypto ..

Popular crypto exchange platform Coinbase has not been immune to this, announcing two weeks ago that the company would begin slowing down its hiring process due to volatile conditions in the market.

A new memo was published on Friday that announced that the company would continue its hiring freeze for an indeterminate period of time and that it would also begin to rescind some employment offers that had been made.

Related: Bitcoin Billionaires Lay Off 10% of Employees, Blame Market and ‘Crypto Winter’

” “As we navigate this downturn, it is important to be transparent about the decisions that we have to make to manage expenses effectively,” Coinbase Chief People Officer L.J. Brook, wrote to employees . “We made this decision despite the market conditions. It was not an easy one. We will continue to review all options to responsibly navigate Coinbase throughout the current cycle. Although we knew that crypto would be volatile, the volatility and larger economic factors could put a strain on Coinbase and us personally .

The company claimed that the hiring freeze would include backfill positions with some exceptions for roles that are “necessary”. “

Individuals who have their offers withdrawn will be entitled to severance and access to a talent center to assist them in the job search process.

However, per a leaked email shared with Entrepreneur, hired employees were prior told that there would be no such offers rescinded.

Related: Can Coinbase Turn Things Around in 2022?

“First, I wanted to let you know that we are still excited about your joining Coinbase and that we will not rescind any offers made by employees who have signed or received an offer from Coinbase,” the email stated, with emphasis. “We remain bullish about the long-term fate of crypto and Coinbase’s position within the ecosystem. “

That email was reportedly sent the week of May 16.

Coinbase are not the only ones who have seen major changes in crypto exchange platforms and layoffs.

Just Thursday, Gemini announced that it would be slashing 10% of its workforce citing what they called the “crypto winter. “

“Although this moment is difficult, we see it as an opportunity for us to double-down our strongest ideas and customer-centric product so that we might be the catalyst for innovation coming out these leaner times which will help fuel the next round of crypto growth and adoption.” The company told employees .

Coinbase was down nearly 10% at market close on Friday upon the news.

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