The crypto sector has had a tough time in recent months. The value of major cryptocurrencies like Bitcoin and Ethereum have plummeted, leading to heavy losses for investors.
Consequently, many crypto trading and investment firms have had to lay off part of their staff to survive the downturn. Even big names like Coinbase have not been immune to the job cuts.
According to a new data presentation by BanklessTimes.com, Coinbase’s full-time employee count stood at 4,977 at the end of Q2 2022. That figure represented a 33% rise from the 3,730 staffers it had on its books at the end of Q4 2021.
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That’s in stark contrast to the 18% reduction in workforce that Coinbase announced in June. At the time, the company said it would be letting go of around 1100 employees and canceled job offers.
BanklessTime’s CEO has been studying the data, he said, “Coinbase is currently advertising several full-time vacancies across a range of functions, including engineering, customer support, and marketing.”
He added, “And while it’s true that the firm has made some redundancies, it’s important to remember that it’s still growing. So while it may be trimming its workforce in some areas, the data suggests that it’s still expanding overall.”
Google of Crypto
For years, Coinbase has aspired to become the Google of crypto. Last year, Coinbase went public at an $86 billion valuation, making it one of the most valuable U.S. startups. The company became a household name, partly thanks to its memorable Super Bowl ad featuring a bouncing QR code.
While Coinbase is one of the most valuable companies in crypto, it still has a long way to go to catch up to Google. The search giant employs more than 100,000 people and has a market cap of more than $1.4 trillion.
Coinbase also faces stiff competition from other exchanges like FTX and Binance, which have been aggressively hiring in recent months.
FTX, for example, has more than doubled its workforce over the past year. Binance, which is headquartered in Malta, has also been on a hiring spree. The company now employs more than 3,000 people, up from just 1,000 in 2019.
The bottom line
The current market conditions are tough for everyone in crypto. However, it’s important to remember that the industry is still young and growing. While some companies are struggling, others are still hiring and expanding.
Coinbase is a prime example of this. The company has been able to weather the storm better than most and is still growing its employee base. In the long run, this should help Coinbase maintain its position as one of the leading exchanges in the space.