Foreign media: price plunge to suppress transactions, cryptocurrency exchanges have layoffs

Zhongxin Jingwei, June 15th. According to the British Financial Times Chinese website reported on the 15th, the main digital asset exchanges are laying hundreds of people. At present, the rapid expansion of the industry has suddenly reversed. Replaced.

Coinbase, which was listed in the United States, announced on Tuesday that it plans to lay off nearly one -fifth, with a total of more than 1,000 people. Previously, competitors such as Gemini, Crypto.com, and Blockfi had laid off. The plunge of cryptocurrencies this year has suppressed trading activities, and this is the lifeblood of the industry.

The report quoted the former CEO of the cryptocurrency trading platform Bitstamp, Julian Soye, said, "If there is no transaction volume, there is no funding, and it seems difficult to be in the future."

Data show that the market value of the world's 500 Congress of Cryptocracy has been from $ 3.2 trillion in November 2021 to less than $ 1 trillion this week. The gain. This decline reflects the overall decline in the global financial market.

According to the British Financial Times based on CryptoCompare data, from March to May, the average spot transaction volume of major encrypted platforms is about $ 800 billion per month, less than half of the same period of 2021.

It is reported that Coinbase has faced strong opposition inside and outside the company. Last month, the company stated that it plans to cut or even cancel some job opportunities. Chief Financial Officer Alecia Has said in a group interview last week that "we are in an uncertainty."

A former executive of Gemini said the company recently announced that the layoffs were only the tip of the iceberg, saying that the exchange "hired too much" in the cryptocurrency bull market last year. "10%has been completely underestimated. Since March, Gemini has quietly fired some important people."

Charle Cooper, Managing Director of Blockchain Software Company R3, warned that the encryption industry is often shrouded in the "arrogant" atmosphere. "The laws of economics are also applicable to cryptocurrencies. If you always believe that your asset category is not affected by economic laws, it will be difficult for you to believe that people in the mainstream financial community believe that you are doing business seriously."

It is reported that the strengthening of encrypted asset supervision has also increased the cost of operators. "If you do well, the supervisory expenses are huge, because we must go deep into the old world and keep up with the new world." Jingwei APP)

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