Cryptocurrency exchange Coinbase is closing most of its operations in Japan as part of its efforts to survive a bear market. The move is part of a restructuring plan for the company, which previously announced it would cut 20% of its workforce.
In an interview with BNN Bloomberg, Coinbase executive Nana Murugesan said most operations in Japan will be closed. "We have decided to wind down most of our operations in Japan, which has resulted in the elimination of most positions at our Japanese entity," Murugesan said.
While the executive did not go into specifics, he noted that a small number of employees at the Japanese branch will remain to ensure the safety of client assets.
While the cryptocurrency exchange has not commented on the merger, in an interview with Bloomberg, a Coinbase spokesperson said they were looking at all possible options. "We are carefully evaluating all options and will communicate any further updates as they become available," they said.
On June 14, due to the uncertainty of the market environment, cryptocurrency exchanges laid off 18% of their staff. At the time, Coinbase CEO Brian Armstrong said the company was growing so rapidly that staff costs were too high to manage effectively in uncertain market conditions. Armstrong also cited the recession when announcing the layoffs.
Coinbase isn't the only crypto exchange laying off staff amid the crypto winter. On January 6, Huobi, a cryptocurrency trading platform, also confirmed that it plans to lay off 20% of its staff, citing market conditions. On December 4th, Bybit exchange also announced the second batch of layoffs to survive the bear market. The layoffs come as Bybit CEO Zhou Ben announced a restructuring plan amid the crypto winter.
