Kraken, one of the largest crypto exchanges in the world, will lay off 30% of its staff, or 1,100 people, “to adapt to current market conditions,” CEO Jesse Powell said today.
In a blog post titled “Kraken Takes Steps to Weather Cryptocurrency Winter,” Powell said the slowdown in growth, driven by “macroeconomic and geopolitical factors,” has eased client demand, reduced trading volumes and the registrations.
“We’ve had to grow rapidly, more than tripling our workforce to provide those customers with the quality and service they expect from us,” Powell said. “The reduction brings our team size back to what it was just 12 months ago.”
The company will offer 16 weeks of severance pay and extend the vesting window for affected employees.
“I remain extremely optimistic about cryptocurrencies and Kraken,” Powell added.