Austrian crypto and stock trading platform Bitpanda joins a growing list of companies to announce massive layoffs as it aims to “recover financially from it” in the midst of an unforgivable bear market.
Over the past several weeks, the bear market has resulted in several disastrous consequences for ecosystems such as Terra (LUNA) and Abracadabra’s Magic Internet Money (MIM) de-pegging fiasco. Given the mishaps from the front row seat, Bitpanda made the “difficult decision” to reduce its workforce to around 730 people.
While the exact number of employees reported to have stopped working for Bitpanda is unknown, data from LinkedIn indicates that the company is in the process of laying off approximately 277 full-time and part-time employees.
In an announcement titled ‘The Way Forward’, Bitpanda backed the move to lay off staff, highlighting the need to be “strongly well capitalized” amid uncertain market conditions, stating:
“This is a difficult but necessary decision and we believe the new organizational design will help us be more focused, effective and stronger as a company.”
The company is offering itex-employee support packages that include mental health support, references, and an Employee Assistance Program (EAP). Speaking about its hypergrowth phase, at a time when the crypto market breached a $2 trillion market capitalization, Bitpanda revealed problems with the internal processes and infrastructure to successfully turn on new joiners:
“We have reached a point where having more people involved has not only made us more effective, but has created coordination overhead, especially in this new market reality. Now looking back, we find That our recruiting pace was not sustainable. That was a mistake.”
Bitpanda has not yet responded to Cointelegraph’s request for comment.
related: Coinbase Will Shut Down Coinbase Pro To Merge Trading Services
American cryptocurrency trading firm Coinbase has announced the closure of its Coinbase Pro services, joining a massive restructuring campaign to better suit the bear market.
As Cointelegraph reported, Coinbase Pro’s services will gradually migrate to Advanced Trade, with the new trading section of Coinbase accessible via the exchange’s website – over the next several months.