The largest crypto exchange of South Korea, Bithumb is reducing its workforce by over 50 per cent or around 160 employees from its current workforce of 310 employees spread across South Korea, Singapore and UAE.
As per reported in Coindesk Korea, those departing will mostly comprise of those employees who already want to leave the company. And, the decision to downsize the workforce was taken in an effort to reduce the costs and better align with the pace of the growth in the industry.
An exchange official who has direct knowledge of the matter noted:
“Voluntary retirement is part of our support program for former employees and is intended to provide assistance and training for job placement. Apart from that, [Bithumb’s] trading volume has decreased compared to the previous year, [so] we are trying to provide internal measures. We will continue to add necessary personnel for various new businesses.”
Due to the prolonged crypto winter, the exchanges around the world are witnessing drastic fall in investor interest and trading volumes. Compared to all-time high trading volumes in 2017, Bithumb trading volume has decreased by over 95 per cent in 2018.
Also, the exchange has been affected by a number of security-related issues in June 2018, in which it had to compensate $40 million to the affected customers. In the past few months, the financial health of many crypto companies has deteriorated and the repetitive market crashes have affected business negatively.
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