The bear market that we have been in for a year now has not only taken its toll on many a crypto investor. Employees at crypto companies have also often been the victims of the downward trend in the world of cryptocurrencies in recent months. Crypto exchanges in particular are being forced to reduce their workforce due to the declining trading volume.
Earlier in the crypto news it could be read that large crypto exchanges such as Crypto.com and Kraken had to lay off a significant number of employees. Crypto.com had cut its workforce by more than 2,000, which was around 30-40%, and US-based Kraken laid off 1,100 people, which was equivalent to about 30%, to adapt to current market conditions .
A few months ago, other crypto companies such as Bitso, Gemini, BitMEX, Buenbi, BlockFi and Coinbase had also taken measures to survive the bear market.
Bitcoin exchange Bybit is next
The baton has since been passed to Bybit, as Ben Zhou, the CEO and co-founder of the crypto exchange, has passed on via Twitter has indicated that the workforce will be reduced as a direct result of the bear market:
“It is important to ensure that Bybit has the right structure and resources to navigate the market slowdown and is agile enough to seize the many opportunities ahead.”
In the series of tweets, Zhou also focuses on the affected employees:
“For our affected colleagues, we will try to make this process as smooth as possible and to meet the needs of each individual as much as possible.”
Transparent crypto exchange
After the collapse of FTX, Binance started a new trend in which crypto exchanges try to regain customer trust through transparency. A so-called Merkle tree proof of reserves let crypto exchanges demonstrate in a cryptographic manner that they have sufficient reserves in cash.
Bybit has also indicated that they are working on such a Merkle-tree proof-of-reserves and on November 16, Zhou shared Bybit’s largest wallets via Twitter. This new trend of transparency is one of the few positive consequences of the FTX debacle.