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Bitpanda announces staff job cuts
Bitpanda, an Austrian crypto exchange company headquartered in Vienna, announced that it would be reducing its workforce, which means job cuts for its employees. The company is reportedly aiming to bring down its number of workers from more than 1,000 to just 730.
Apparently, Bitpanda will be terminating hundreds of its workers soon, and the employees were notified through a blog post that was released on Friday, June 24. The founders of the company wrote that they had to let go of a percentage of their workforce due to the current market conditions.
“We acknowledge the responsibility we have for our employees and their families,” the crypto exchange firm said in a statement sent to CoinDesk. ”This is why it is a top priority for us to support them to smoothly transition to the next step in their career.”
The company further explained that Bitpanda has reached a point where the onboarding of more staff did not make the company more effective with its operations. Rather, it only created coordination overheads, especially in the market’s current situation, which in reality is not doing well. Bitpanda said it realized that its hiring speed was a mistake because it was not sustainable.
As mentioned on BeinCrypto, Bitpanda will lay off 230 employees, and with this move, it has joined other crypto firms that have also reduced the size of their workforce. Previously, Coinbase Global, Crypto.com, and BlockFi have all announced job cuts as they fear recession could be approaching soon.
There are also geopolitical tensions and major sell-offs as investors are getting rid of high-risk assets, including cryptocurrencies and other digital goods. At any rate, these companies are slashing jobs in an effort to survive in this time of rising prices and market downturn.
“We, unfortunately, needed to announce that we are letting part of the team go during a call earlier today. We made this incredibly difficult decision to ensure that we stay true to Bitpanda’s mission and keep building the leading investment platform in Europe and beyond,” the company’s executives - Eric Demuth (chief executive officer), Paul Klanchek (Co-CEO), and Christian Trummer (chief technology officer), wrote in a blog post.
They added, “while this is a tough decision to make, it was nonetheless necessary to make sure we are robustly well-capitalized to navigate the storm and get out of it financially healthy, no matter how long it takes for markets to recover, without compromising on product quality and customer experience.”