The publicly listed crypto payment gateway firm Banxa has fired 40% of its staff, reported Financial Review. Banxa, which trades in the Australian stock market, is finding it hard to sustain during the current ‘crypto winter’.
The crypto operator Banxa, enables users to convert their fiat money to digital currencies and vice versa. Its shares plunged nearly 75% from its 52-week high of $3.50 and are now trading at $0.79. The crypto market crash has hit Banxa hard and the firm decided to release a majority of its staff.
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Financial Review reported that the CEO, Holger Arians held an all-company meeting named “all hands”. The CEO spoke to employees that the company is facing hardships in the worsening market conditions and announced redundancies in staff would take place.
He called the staff cuts “painful changes” but was necessary in order to weather the market conditions.
A spokesperson for Banxa published a statement confirming that the company will now be leaner. “Banxa’s extensive payment rails and compliance infrastructure is increasingly valuable to creators and platforms in web2 and web3.”
The spokesperson assured investors that despite the job cuts, its balance sheet remains strong. “Banxa is also a veteran company of multiple industry cycles, its financial performance is available to the public, and its balance sheet is strong.”
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Many crypto exchanges and service companies have reduced their workforce, as the market is facing downtime. Users have shied away from investing due to the market crash and crypto services are facing tremendous losses. Read here for a full list of companies that have fired their staff during the bear market of 2022.
‘Hiring & Firing’ in the Crypto Sector
Jobs in the crypto market were brimming during Q1 of 2022 but things have taken a u-turn for a month. Read here to know which countries across the globe posted the highest crypto jobs with a competitive pay scale.
However, things are different now as there’s news about crypto exchanges firing employees every week. Only a handful of crypto exchanges are currently hiring despite the sour market conditions. Read here to know which companies are hiring during this ‘crypto winter’.