Crypto exchange Rain Financial is shedding jobs amid recent digital asset downturn

The company said the job cuts were made to reflect “operational needs and market conditions”, although the company did not provide the number of people made redundant.

“As a business, we have had to adjust our future plans given these challenging market conditions to ensure we can weather this downturn,” Rain Financial said.

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Rain Financial isn’t the only company to downsize. Several crypto firms have laid off their staff citing a downturn in the crypto market.

According Moneyweb, around 5,000 crypto employees have lost their jobs since April. San Francisco-based Coinbase made the biggest job cuts in the crypto market in 2022, according to data from Layoffs.fyi. In June, the company announced that it was laying off 1,100 people.

Following the footprints, Singapore-based crypto exchange Bybit downsized and laid off 30% of its 2,000 employees, reported Crypto presales.

Even before the crypto market crash, crypto exchange Huobi Global laid off around 300 people, or 30% of its workforce.

Additionally, cryptocurrency exchange Crypto.com cut 260 employees in June alone, citing the downturn in the crypto market.

According to data, collected by CoinDesk – which monitors crypto layoffs – Genesis, broker Robinhood, Blockchain.com cut staff by 25%, NFC marketplace OpenSea cut 20% jobs, Ignite cut more than 50% jobs and crypto exchange CoinFLEX made a 50% job cut.

Expressing his opinion on the recent job cuts, Coinchange CEO Maxim Galash said that crypto companies like his over-hired during the bull market and now need to cut back quickly.

“Now that the air is coming out of the market, they urgently need to cut staffing costs to stay afloat and weather a downturn that could be intensified by the deteriorating economic outlook. In other words, hire slowly, Layoffs are painful, but we are doing what needs to be done to sustain and grow the business: prioritize long-term shareholder value over short-term pain,” Fortune Magazine reported Galash as saying.

This year, crypto prices have fallen from the highs reached in early November.

With contributions from Bloomberg.

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