Exchange Currency Digital Coinbase said on Tuesday it would stop 18 percent of staff, citing strict economic conditions and too fast expansion when the Cryptocurrency market fell.
Coinbase layoffs are in accordance with around 1,100 positions, said the platform in the archiving of the stock exchange.

Difficult Decision” was made “to ensure we stay healthy during this economic decline,” CEO and one of the founders of Brian Armstrong said in a statement.

We seem to enter the recession after an economic explosion of 10+ years.”

Bitcoin sank on Monday to the lowest level of 18 months under $ 23,000 in the middle of a broad cryptocurrency accident, because investors were shunned by risk assets in facing the actions of selling ferocious global markets, only seven months after the virtual unit jumped to the highest record.

With the stock market that has been struggling since the beginning of the year and inflation in the four -decades of monetary policy worldwide has helped send the falling crypto industry.

Coinbase, a platform that allows users to buy and sell cryptocurrency, has warned mid -May that the number of active users fell. This group posted a net loss of $ 430 million in the first quarter of 2022.

The company believes “managing our costs is very important” while the market has decreased, said Armstrong, noting that the company has passed several periods of impairment of cryptocurrency.

But this time, “We grew too fast,” he said. Coinbase changed from 1,250 employees in early 2021 to more than 6,000 at this time.

The platform does not change its estimates for this year but warns that the results may be at the base of the prediction range.

Coinbase shares fell 6.2 percent in pre-market trade after falling 11.4 percent on Monday.

The US technology sector is in a high volatility period, with many start-ups announced layoffs, while giant like Facebook, Amazon and Uber have warned them slowing down the rate of recruitment.