Crypto exchange Kraken lays off 30% of workforce

Cryptocurrency exchange Kraken today announced layoffs, affecting 30% of its workforce, or approximately 1,100 employees. In a blog post, Kraken CEO Jesse Powell said the company made the decision to help him through the “crypto winter.”

Kraken, a platform that allows users to buy, sell, and trade crypto, announced plans to hire 500 new employees in June, but only as long as their beliefs align with “crypto culture.” -first” of the company, which apparently means not calling things said by others as “toxic, hateful, racist, x-phobic”. But now Kraken is cutting back on spending after a period of rapid growth, citing “significantly lower trading volumes and fewer customer sign-ups.”

Powell says that while Kraken tried to mitigate uncertain economic conditions by slowing hiring and “avoiding big marketing commitments,” it ultimately ran out of ways to save money. Employees who have been terminated will receive 16 weeks of severance pay in addition to four months of continued health care benefits. Kraken will also expand support for those on company-sponsored visas and provide employees with access to professional networking tools.

“I am confident that the steps we take today will allow us to continue to fulfill our mission, which the world needs more than ever,” writes Powell. “I remain extremely bullish on crypto and Kraken.”