Bybit to Reduce Workforce as Crypto Slump Drives Cost-Cutting Measures

The crypto exchange is looking to remove overlapping functions and build smaller, more agile teams, it told CoinDesk.

AccessTimeIconJun 20, 2022 at 11:39 a.m. UTC
Updated Jun 28, 2022 at 8:48 a.m. UTC

Jamie Crawley is a CoinDesk news reporter based in London.

Cryptocurrency exchange Bybit is planning to reduce its headcount after rising inflation and lower consumer spending drove crypto into a bear market and prompted firms across the industry to seek ways of cutting costs.

Job cuts might amount to about 30% of the workforce, according to crypto journalist Colin Wu, who cited unidentified sources. The Dubai-based firm has a headcount of around 2,000.

Bybit joins fellow crypto firms in cutting jobs. Coinbase (COIN) said last week it was laying off 1,100 employees –around 18% of its workforce – while crypto lender BlockFi said it would reduce its headcount by more than 170 – roughly 20%. Crypto.com said it would cut about 5% of its workforce, amounting to around 260 employees.

"We are exploring a way to remove overlapping functions and build smaller but more agile teams to improve our efficiency," a Bybit spokesperson told CoinDesk. "Starting from this week, some of the functions and roles will be reviewed to ensure we stay focused and agile."

According to a copy of an internal letter posted by Wu, Bybit CEO Ben Zhou said the firm "grew so fast" during the most recent crypto bull market, and "grew too comfortable."

"Our organization size grew exponentially but the overall business growth did not grow in the same way," Zhou said.

CORRECTION (June 28, 08:48 UTC): Corrects number of jobs cut at BlockFi in third paragraph to 170 from 400.



DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.