lays off a quarter of staff, closes Argentina offices

Coindesk released data on Thursday showing that has become the most recent crypto business to lay off employees.

The exchange will lay off some 150 employees, or 25% of its workforce, returning the firm's staffing numbers to those of January 2022. Additionally, CEO salary and executive salaries will be decreased.

The decision, according to the corporation, was made as a result of the severe bear market circumstances and the need to cover financial losses resulting from the collapse of Three Arrows Capital (3AC). Due to loans made to the fund, the exchange is $270 million in the red. is also curtailing its expansion plans as part of the budget cuts, particularly in South America, which CEO Peter Smith hailed as one of the "biggest growth prospects in crypto over the future decade" last year.

To that end, the business revealed ambitions to establish physical presences in Argentina, Brazil, Chile, Colombia, and Mexico late last year after acquiring Argentinian cryptocurrency investing platform SeSocio.

The corporation now claims that the US, Europe, and Africa are the regions with the most active demand. It will stop expanding internationally and close its headquarters in Argentina.

Employees with a basis in Argentina make up over half of the layoffs. Additional 26% are situated in the US, and 16% are based in the UK.

Additionally, it will cut back on its institutional loan operations, stop all M&A activities, sluggishly develop its non-fungible token (NFT) marketplace, and put a stop to its excursions into the gaming industry.

The cryptocurrency company became a "decacorn" in March of this year after a Series D investment round at a $14 billion valuation that brought in an undisclosed sum of money.

A decacorn is a word for a company valued at more than $10 billion. The gap brought on by 3AC will now be compensated for in part at least with the earnings from this round. Additionally, there were rumors that the business intended to go public this year in April.

Other sizable crypto businesses are also keeping their worker levels down, many after sizable hiring drives over the previous 12 months. Coinbase acknowledged last month that it had "over-hired" and let go of more than 18% of its workforce.

OpenSea also let go 20% of its workforce last week. Other companies that have seen layoffs include Gemini, Bitso, Bybit, Rain Financial, and 2TM, which is based in Brazil.

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