Crypto Exchange CoinFLEX Slashes Team Amid Cost-Cutting Push

Troubled crypto exchange CoinFLEX said Friday it has let go a "significant number" of employees from various departments and geographic locations to cut costs and focus on its core business.

CoinFLEX's job cuts come after the firm proposed a plan to compensate depositors and shore up its financial situation as it seeks to recover over $84 million in debt owed by a “large individual customer.”

Remaining employees are mostly focused on product and technology, CoinFLEX said in a blog post Friday.

"We will monitor costs to ensure we operate as efficiently as possible and scale as volumes come back. The intention is to remain right-sized for any entity considering a potential acquisition of or partnership opportunity with CoinFLEX," co-founders Sudhu Arumugam and Mark Lamb said in the blog post.

The exchange will provide an update next week as it seeks to garner votes from depositors. CoinFLEX said the delay in the process stems from legal and accounting procedures.

In addition, CoinFLEX aims to offer trading of locked balances versus unlocked balances next week, in what the company called a "difficult market to price."

CEO Mark Lamb is hosting a livestream session with crypto influencer Hayden Otto July 30 at 6 a.m. UTC.