One of the famous crypto exchanges, Huobi, announced the layoff of around 20% workforce. The reduction in workforce has been decided to execute when the market is in bear condition. Moreover, investors are worried about their digital assets, reserves, and solvency investments. Therefore, the layoff coming from the end of Huobi has been into structural adjustment. The Huboi received several queries from Reuters where they said that the payoff ratio would be around 20%.
However, the implementation hasn’t happened yet. As per the current state of the bear market, they are willing to maintain a tiny team. Moreover, their statement validated an early indication given by Tron founder Justin Sun who said that structural adjustment is soon coming into Huobi. He said the process hadn’t been kicked into action; however, it would start until the last days of the first quarter. The company has around 1100 employees. He is part of Huobi’s global advisory board.
The information was given through an internal memo to the staff. Right now, the crypto industry is suffering from bear trends. However, cryptocurrency exchanges have struck the investors’ trust. The company was founded in 2013 in China. They have a very influential grasp of the Asian market. They have a network in South Korea, Japan, the US, and Hong Kong. The company’s primary services include spot trading, financial planning, staking, etc.
The founder of the company, known as Leon Li, had already given their controlling stakes when the buyout happened for About Capital Management. Currently, the company is focusing on resolving the liquidity crunch. The company is trying to take the initiative to find solid solutions for such issues caused by a downturn in the market. These layoffs are also done to cope with this issue.
