London, Europe Brief News-Coinbase, a cryptocurrency exchange, allegedly spent $14 million on a Super Bowl commercial that features nearly completely of a bright QR code flying across the screen. Directing viewers to a webpage where they could win $15 in Bitcoin simply by registering. Per a filing with the US Securities and Exchange Commission, its prospects have shifted so dramatically that it will lay off around 1,100 people, or 18% of its staff.
Cryptocurrency Exchange
Coinbase CEO Brian Armstrong criticizes the shifting economic situation for a “crypto winter” in a blog post. And delays till his third bullet point to indicate that the business has “over-hired.” Highlighting its aim to capitalize on “novel use cases offered by crypto that is gaining popularity nearly every week.”
Four days ago, Armstrong reacted to an employee’s formal request for the expulsion of Coinbase executives on Twitter. Call it “very idiotic on several levels.” And encourages staff who were dissatisfied with the issue or provided alternatives to depart.
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Employees sign a petition criticizing the firm for “aggressively hiring for thousands of posts. Even though it is an unsustainable strategy. And is antithetical to the knowledge of the crypto sector.” It did not refer to the Super Bowl advertising. But it did highlight the over-prioritization of specific initiatives.
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That begins with the Coinbase NFT network debuting with what looks to be particularly awful timing. Given a decline in general market activity and struggles to take on amongst those who deal in digital tokens.
The Wall Street Journal stated in May that business officials. Comprising Armstrong, his fellow co-founder Fred Ehrsam, president and COO Emilie Choi, and CPO Surojit Chatterjee. They have earned $1.2 billion in share sales from Coinbase’s first public offering in April 2021. The stock began trading at $382 and is presently trading at around $52.
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In April, the New York Times reported on employees quitting tech businesses for crypto startups in a “get-rich-quick” rush. Further citing Chatterjee’s experience. Only Fourteen months following quitting Google for Coinbase, his share in the firm had a value of over $600 million (at the time). This workforce cut came after Coinbase began rescinding employment offers to individuals who had accepted.
The abrupt adjustment placed some visa holders. And many others who had passed up other possibilities or planned to quit their former professions in limbo. Motherboard reported yesterday that over 300 people had their job offers withdrawn.
Several cryptocurrency businesses, including BlockFi, Crypto.com, and Gemini, have lately declared layoffs. Especially as the price of Bitcoin has fallen in each of the previous 12 weeks to roughly $21,884 after peaking at around $69,000 last November. This cryptocurrency exchange has been a new talk among the public.
