Coinbase follows other crypto companies in firing 1,100 employees, Binance hires 2,000

Coinbase joined BlockFi, Crypto.com, Gemini, and other companies in laying off employees in the face of the collapse of the cryptocurrency market. Coinbase Global is restructuring, and 1,100 employees are getting fired (18% of the staff).

“Today I am making the difficult decision to reduce the size of our team by about 18%, to ensure we stay healthy during this economic downturn,” Brian Armstrong, CEO and Cofounder said in his message.

All retired employees will receive:

• Minimum of 14 weeks of severance plus additional two weeks for every year of employment beyond one year.
• Four months of COBRA health insurance in the US and four months of mental health support globally.
• Access to Talent Hub, where members of Coinbase’s team will work to connect with you with open positions at other firms (including portfolio companies from Coinbase Ventures and other top crypto VC funds).

Coinbase is not the only crypto company that decided to take such drastic steps. BlockFi CEO Zac Prince tweeted that the company will reduce its headcount by 20%, and Crypto.com announced laying off 260 employees, or 5% of its workforce. All of these could be signs that crypto winter is comingIt's when prices contract and remain low for an extended period.

Last month a few other companies also decided to reduce the number of employees: Rain, 2TM, Bitso, Nuri, Buenbit.

Binance is on the up

At the same time, Binance reported on plans to expand the staff despite the state of the market. Company is hiring 2,000 new employees, it was revealed at the Consensus 2022 conference by Changpeng Zhao (commonly known as CZ), founder and CEO of Binance.

“We have a very healthy war chest; we in fact are expanding hiring right now. If we are in a crypto winter, we will leverage that, we will use that to the max,” he mentioned.