Indian Crypto Exchange WazirX Lays Off 40% Employees: Report
- WazirX, is the latest to join the list of companies suffering from the ongoing crypto market, by announcing a 40% layoff of its employees while adding that they would receive their salary for the next 45 days.
- It has laid off several employees from its 150-member team, notably 50 to as many as 70 in count as per three sources close to the matter.
- As per the statements by one of the sources, WazirX has cut employees from a range of departments, including human resources, customer support, among others.
The leading crypto exchange platform in India, WazirX, is the latest to join the list of companies suffering from the ongoing crypto market, by announcing a 40% layoff of its employees.
According to a recently shared statement by the exchange, it has laid off several employees from its 150-membered team, notably 50 to as many as 70 in count. Three sources close to the matter told CoinDesk that the laid off employees were informed on Friday that they would receive their salary for the next 45 days. However, the company has reportedly revoked the laid off employees’ access as their services would not be required effective immediately.
WazirX said in a statement on Saturday that the crypto market is currently in its winter season because of the “current global economic slowdown.”
“The Indian crypto industry has had its unique problems with respect to taxes, regulations, and banking access. This has led to a dramatic fall in volumes in all Indian crypto exchanges,”
It further added.
As per the statements by one of the sources, WazirX has cut employees from a range of departments, including human resources, customer support, among others. Moreover, analysts, managers, and associate managers, are some of the posts being laid off.
Interestingly, an employee who “abruptly” lost their job reported that Nischal Shetty’s company has fired the entire public policy and communication team.
According to Coindesk, the exchange claims to prioritize financial stability and quality services to its customers and to achieve the same, it took this difficult decision of reducing its staff to “weather the crypto winter.”
Notably, during the last crypto bear market in 2018, the Indian exchange giant had doubled down and built its innovative peer-to-peer (P2P) engine.
The statement reads:
“The crypto industry operates in cycles, and the bear market is inevitably followed by a spectacular bull market. We will continue to focus on our customers’ needs and continue to build. We are confident that we will come out stronger when the bull market arrives.”
Regulatory scrutiny
It is important to note that the reported layoff decision comes soon after the company received severe scrutiny from the India’s Enforcement Directorate for alleged money laundering activities. The regulator searched the premises of the WazirX’s director, and following the exercises, confiscated the sum of $8.13 million belonging to the exchange.
Later, in September, the authorities unfreezed its bank accounts as a result of its active cooperation in the ongoing money laundering investigation.
After India’s strict crypto tax rules went into effect in March 2022, WazirX Co-Founder Nischal Shetty stated that “we have entered a period of pain.” Daily trading volume on the exchange have been continuously dropping, clearly weakening operations within the company.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
