Binance and Kraken are Absorbing the 18% Crypto Layoffs
At the height of the crypto market crash, some of the largest web3 businesses were forced to lay off a large portion of their employees.
Similar to most market crashes, the loss of jobs is not a surprise; however, the employees being laid off recently were largely new hires.
This event has caused many to wonder, not just about the strength of crypto during a down market, but also about the job security present at web3 companies. The reality of being laid off within weeks of being hired is a cause for concern.
However, not all web3 companies are afraid of this crashing market. There are still plenty of businesses that are thriving through the tough market conditions and are taking advantage of the increased pool of talent looking for work.
Coinbase lays off 18% of their staff
Coinbase, one of the leading companies in crypto, was the first to start the layoffs as its stock price significantly dropped following the crypto market crashes.
Initially starting above $200 per share, the current price for a share of Coinbase now sits around $60. With this sudden drop price, the company has been forced to admit that it began hiring too quickly.
In a move that shocked many, the company laid off approximately 18% of their staff which has consisted mostly of new hires.
Binance is hiring 2,000 new employees
In light of the recent layoffs, Binance announced that they would be hiring an additional 2,000 employees worldwide.
The announcement came through a tongue-in-cheek tweet from CZ that poked fun at the failures of certain crypto companies who were advertising themselves strongly during the height of crypto in early 2022 while unable to retain talent through the recent crash.
In this message from Binance, CZ goes into some details about what he considers when evaluating new employees at Binance. To him, the core skills and experience matter, but what truly stands out to him is the belief that crypto and decentralization are beneficial to a global society.
It’s important to note that this crypto crash is creating a serious opportunity for web3 companies like Binance to take a closer look at who was laid off to find the people that are most committed to blockchain technology.
Kraken wants to hire crypto believers
Kraken has taken a similar approach as Binance to the recent layoffs from around the crypto industry. To them, the mass adoption of crypto is key to improving the financial situation of many across the world.
In a blog about the topic, Kraken said that they “believe bear markets are fantastic at weeding out the applicants chasing hype from the true believers in our mission.”
The company stated that it would not be laying off a single employee due to the market crash.
They have even pushed to improve their employees' understanding of crypto, saying in their blog “We expect each Krakenite to spend a few hours each week on education.” At Kraken, enthusiasm and a desire to learn more are paramount.
To those uninterested in the prospect of decentralization, this may appear as a burden, but to a team of motivated, driven employees compelled by the concept of web3 and blockchain technology, this push for constant improvement is what helps maintain their reputation as a premier crypto exchange.
The Future of Web3 Careers
While the situation for former Coinbase employees is difficult to accept, there is still a large demand for their skills - whether it be marketing, engineering, legal, or content creation.
Web3 companies are using this massive layoff as the best time to find new talent that matches the core goal of cryptocurrency and blockchain technology - decentralization.
For employees motivated by more than just massive gains, this layoff event is only a small drop in a large ocean. The businesses leading the way for web3 are watching; looking to bring in new employees that care most about blockchains.
