Buenbit, an Argentine cryptocurrency exchange, has announced a series of layoffs due to the decline now facing traditional and crypto markets. Buenbit co-founder and CEO Federico Ogue explained that this move had nothing to do with the recent catastrophe of the Terra ecosystem and that from now on, the exchange would focus on maintaining operations in countries where it already has an established presence.
Buenbit Announces Dismissals
Buenbit, an Argentine cryptocurrency exchange, has announced a change in its business strategy due to the recent decline facing the cryptocurrency and stock markets. According to some reportsthe company will lay off nearly half of its current workforce across the three countries where it operates, including a number of senior executives.
Federico Ogue, co-founder and CEO of the exchange, declared on social media that these changes were the result of the technical industry facing a review phase. Ogue stated:
Given this new context, we have decided to reduce our staff and pause our expansion plan to focus exclusively on operations in the countries where we are present today and maintain a self-sustaining and efficient structure.
In addition, Ogue revealed that this move had nothing to do with the recent collapse of the Terra ecosystem, although the exchange did offer Terra-related services as part of its investment portfolio. “It’s a decision we’ve been working on for months. It’s an adjustment that’s happening all over the start-up industry,” he explained.
Expansion Plans Stopped
This new strategy puts an end to the expansion plans that the company unveiled during its Series A financial round, which levita $ 11 million for this purpose in July 2021. The company announced that its focus will be to maintain the same quality of operations in countries where it is already present.
The company said it was a proactive response to the upcoming problem, “to avoid, in the near future, the company’s unnecessary exposure to dependence to raise future investment, when market numbers indicate that this is not the right strategy to follow. in the current context. “
Other exchanges have also announced changes in their contracting strategies due to the new direction of the global economic markets. Coinbase, a U.S. cryptocurrency exchange, recently realized that it would slow down its hiring process to be in a better position during and after the current market downturn.
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