CryptoUS

Coinbase Layoffs

June 2022

Coinbase announced a layoff affecting 1,100 employees (18% of its workforce) in June 2022. The company operates in the Crypto sector.

People Affected

1,100

Percentage

18%

Announced Date

Jun 14, 2022

About

Cryptocurrency exchange Coinbase is laying off approximately 1,100 employees, which represents 18% of its full-time workforce of about 5,000. Announced via an employee email in June 2022, the drastic cuts are attributed to preparing for a potential recession and a looming "crypto winter," which could severely reduce trading activity. CEO Brian Armstrong stated the company grew too rapidly during the bull market, leading to unsustainable costs, and emphasized the need to manage its burn rate. This move follows a hiring pause and a significant decline in the company's stock price, reflecting broader turmoil in the crypto industry.