Hundreds Of Jobs Were Quietly Cut At Crypto.com

The cryptocurrency sector claims it wants to change traditional banking and its methods, yet it lags behind on one of its main problems from the past: transparency.

And one of the main participants in the cryptocurrency space has just blatantly demonstrated that the sector won’t win investors’ and the general public’s trust without openness.
In an effort to slash costs in the wake of the bitcoin price collapse, Crypto.com had announced in June that it would eliminate 260 jobs, or 5% of its workforce.

At the time, the cryptocurrency market had lost more than $2 trillion since reaching a peak of $3 trillion in November of previous year, when investors were experiencing a cryptomania.
The CEO of Crypto.com, Kris Marszalek, tweeted on June 10: “That means making difficult and essential decisions to ensure continuing and sustainable growth for the long term by making targeted reductions of around 260 or 5% of our corporate personnel.”

All crypto companies were cutting staff in order to adjust to the new environment. Nearly all platforms, with the exception of Binance.com, were reducing employment, withdrawing job offers that had already been sent to applicants, and halting hiring.

Prior to recently, when prices began to stabilize, the so-called “crypto winter,” a period of steadily declining digital-currency prices and a liquidity problem that affected well-known crypto lenders, had persisted.

The platforms appeared to have finished cleaning up by that point.
But now we find out that Crypto.com, whose most well-known spokesperson is the actor Matt Damon, has secretly eliminated hundreds more jobs.

Decrypt and The Verge report that the site has since eliminated roughly 1,000 more positions. The Verge, which obtained a recording of the conference, stated that Marszalek purportedly announced more job layoffs on August 10 but refrained from disclosing the precise amount.
We’ve increased our workforce by about 50% since 2021, and nearly all of them were hired to support expansion, so one can only speculate about the size of this round of layoffs due to the lack of internal openness. Now it appears that these extra 1,300 employees are seen as expenses that should be cut in order to preserve the company, a source told The Verge.
According to a source, “the business is scaling back to the very bare minimum to survive the expected protracted bear market — internal activities are about attempting to save every penny.”
“Our Balance Sheet Is Strong”

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Through significant TV and social media marketing campaigns starring Damon, Crypto.com has been promoting the use of cryptocurrencies by the general public.

About 45% of the staff at Crypto.com had been hired between 2020 and 2022 prior to the employment layoffs.

Crypto.com has acknowledged that business had continuing to downsize but omitted to provide a number. The business maintained that it was not disclosing its financial status by declining to say how far the layoffs would go. According to Crypto.com, its finances are solid. According to a recent report, a Crypto.com spokeswoman stated, “We announced reductions in June and since that time we have optimized our staff to correspond with current external economic difficulties.”

The statement continued, “We have a healthy balance sheet and will continue to invest in product, engineering, and brand relationships moving forward.

Crypto.com, a Singapore-based corporation with 50 million users, is not a publicly traded company and is exempt from disclosing financial information to the public.

The firm was created in 2016, and the circumstances surrounding it have sparked questions about its financial stability. This is especially true now that large cryptocurrency lenders Voyager Digital and Celsius Network have just applied for Chapter 11 bankruptcy protection.

Former and current Crypto.com employees have criticized the reviews posted on Glassdoor.com for lacking transparency.

On July 10, a “current” employee posted about “Lack of Transparency and Job Stability.” Even though it was publicly reported that 260 employees will be laid off, the corporation is concealing the reality that they have laid off more than 1,000 people.
“We can’t observe the numbers decline since they took down the company directory. Everyone is worried that their job will be the next to go because management has remained silent about the problem. The fact that one-third of the attendees on your next meeting’s invitation list have disabled accounts is not good for morale, the employee continued.

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