Hi HODLers,
Another day and another employees cut for Crypto companies.
Yesterday, Coinbase announced it will layoff 1,000 of its employees. This is 1/5 of its current staff. While we all do understand the reason behind it, it was nice to hear B.Armstrong acknowledge that they probably hired too fast during the last Bull market.
Terms of these layoffs are quite generous:
Mr. Armstrong said that those impacted by the layoffs would be informed Tuesday and that U.S. employees would receive a minimum of 14 weeks' pay.
It is also good to see accountability and forward thinking. These layoffs are proactive and will allow Coinbase to have a longer runway and be there for many years to come.
Sometimes, one has to take difficult decisions, this is one of these times.
This announcement made shareholders happy as Coinbase shares rose 13% Tuesday. Don't forget that they are still down more than 80% in 2022.
What are your thoughts about these layoffs?
Stay safe,