US cryptocurrency exchange Coinbase has reported it intends to lay off around 18% of its employees due to the cryptocurrency winter.
Brian Armstrong, the company's co-founder and CEO, has said that this has been a "difficult decision".
He has added:
"The broader market downturn means that we need to be more mindful of costs as we head into a potential recession."
Armstrong has pointed out that over the past 18 months, the company's staff has increased more than fourfold. This rapid growth has created problems in coordinating and integrating new team members, which has made the team less efficient.
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The company will communicate the decision to the affected employees through personal messages. They will be immediately denied access to confidential customer information.
Armstrong has explained:
"I realize that removal of access will feel sudden and unexpected, and this is not the experience I wanted for you. Unfortunately, this was the only practical choice, to ensure not even a single person made a rash decision that harmed the business or themselves."