Which Crypto Exchanges Are In Crisis?

The current state of the market has made several crypto exchanges go into crisis mode. As we all know, the market has not been in a good state for the past six months. Many significant cryptocurrencies like Bitcoin, Ethereum, and Terra have plummeted more than half. Due to the major losses in value, the trading volumes have declined. As a result of the fall in trading volumes, many crypto exchanges have experienced financial risks. Let’s discuss in depth which crypto exchanges have been victims of these risks.

Celsius

A crypto lending platform known as Celsius Network has been through liquidity issues. To help stabilize this problem, the platform would freeze withdrawals and the transfers being made between accounts.

Celsius gathers cryptocurrency deposits and invests them in the cryptocurrency market to provide loan and insurance services. However, even those investments only experienced a slight dip because fewer investors were looking for crypto loans as they left the industry. The business was unable to satisfy user requests as a result.

BitPanda

BitPanda is looking to cut down its workforce. They are currently at about 1,000 workers and will soon be at the 700 mark. In addition, they have also canceled many job offers due to financial problems they are experiencing.

Block Fi

One of the largest crypto lenders worldwide is suffering financial risks. As a result, they are laying off close to 20% of their employees. All the changes and highs and lows of the market have affected this company negatively.

Robinhood

The market cap has dropped significantly to US$25 billion. Experts say that the company’s market cap is less than the cash they hold.

Coinbase

One of the biggest US crypto exchanges, Coinbase, has announced plans to lay off 1,000 employees, or 18 percent of its full-time workforce as it is in crisis. This is due to market conditions. The company’s executives blamed the potential for a recession and a decrease in client fees as it works to reduce additional operating costs.

Binance

Due to regulatory concerns, Binance is not allowed in Texas, Florida, and New York. Binance is popular with cryptocurrencies; however, with its current regulatory issues and the current state of the market, the financial risks of the platform have increased.

Gemini

Another well-known crypto trading platform, Gemini, recently announced plans to fire a significant portion of its workforce. Due to bad market conditions the Gemini crypto exchange is in crisis. There are reports that the Gemini Trust company laid off 10% of its workforce due to the current crypto bear market conditions. According to Gemini, the platform will emphasize the goods that are currently more crucial to the company’s expansion.

Bitso

This Latin American crypto exchange announced the layoff of 80 employees out of the 700 they currently hold, just one week before tightening financial and economic circumstances worldwide. The business stated that it would reorganize its internal processes to reflect the current state of the market.

2TM

Like most, 2TM will be laying off 12% of its workers. This company stands second as the largest crypto exchange in Latin America. The company had to cut its operating costs due to the ongoing changes in the global financial landscape.

Crypto.com

One of the many cryptocurrency exchanges, Crypto.com, has also chosen to let go of around 5% of its workforce. This action was taken by the business to achieve long-term sustainable growth. The company is using its most powerful assets and getting ready for the next bull run in the cryptocurrency market.

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