In response to the ongoing crypto winter and global economic slump, Indian cryptocurrency exchange WazirX has made the decision to lay off roughly 40% of its staff. WazirX remarks on the situation and says it has reduced its staff to “weather the crypto winter.”
Of the 150 WazirX employees, upto 50 to 70 were reportedly let go. On Friday, it was announced to the laid-off workers that they would get payment for 45 days and would no longer be required to report to work. At the same time, their access would also be terminated.
This layoff indeed is surprising as it comes just days after the Enforcement Directorate (ED) unfroze WazirX’s bank accounts, allowing the platform to restart banking operations.
Furthermore, the Indian crypto industry has faced particular challenges in terms of taxation, regulations, and banking access, resulting in a precipitous drop in exchange volumes. WazirX claimed that maintaining financial stability and continuing to serve consumers are currently its top priorities.
“As India’s No 1. exchange, our priority is to be financially stable and to continue serving our customers. To achieve this, we’ve had to reduce our staff to weather the crypto winter. This situation is similar to the trying times the industry faced in 2018; at that time, we doubled down and built our innovative P2P engine” WazirX said.
Several departments, including customer service, HR, and others, have reduced their staff. One of the reports claimed that among those let go were managers, analysts, associate managers, and team leaders.
According to a dismissed employee, the public policy and communication staff as a whole was fired. Another employee who was sacked claimed, “The company was never truly forthright or transparent with its financial status, either when it was doing well or now.
The corporation also stated that the industry functions in cycles, and that a bear market foreshadows a tremendous bull market ahead. “We will continue to focus on our customer needs and continue to build. We are confident that we will come out stronger when the bull market arrives” it said.