As the deep correction period continues in the crypto money markets, crypto companies and trading platforms are the parties that are most negatively affected by this situation. While many large cryptocurrency companies have been on the agenda with layoffs since last month, a similar statement came from the Huobi exchange.
After China-based sources made allegations that Huobi, a global crypto trading service, plans to lay off 30 percent of its employees, cryptocurrency platform officials made a statement that layoffs are a possibility.
In addition to the difficulties caused by the decline in the cryptocurrency markets, Huobi is said to have caused a significant loss in the company's revenues, as the ban on Chinese citizens' access to the platform in the Asian region, which it serves heavily.
Huobi stated that they have allocated a significant amount of funds for recruitment in line with their global expansion targets, but they had to reconsider these decisions according to the current market decline. Accordingly, Huobi officials stated that layoffs were also an option before them.
After being founded in China in 2013, Huobi has grown significantly and has reached more than 10 million users worldwide. The platform, which moved its operations center to Seychelles after the Chinese crypto ban, is estimated to have close to 5000 employees.
Huobi has lost its dominance in the Asian region, which is its own market since 2021, due to the bans of the country authorities. The cryptocurrency platform, which was first adversely affected by the Chinese government's ban on cryptocurrencies, will have to terminate its activities in the country at the end of this month due to the cancellation of its operating license in Thailand.
If Huobi officially announces the layoffs, it will join companies like Gemini, Coinbase and Bybit, which have laid off employees since last month. Gemini announced earlier this month that it had to lay off 10 percent of its total staff. Coinbase, on the other hand, laid off 1,000 people, equivalent to 18 percent of its workforce. Finally, Bybit, while confirming its layoff plans, has not yet provided information on how many employees will be fired.