Swyftx has fired more than a third of its staff, with the ongoing cryptocurrency winter becoming increasingly brutal
Australian cryptocurrency exchange Swyftx has fired 35% of its staff (90 employees) as it struggles to navigate the brutal cryptocurrency winter, the Sydney Morning Herald reports.
Most of the employees laid off were from the research and development department.
Swyftx suffered a 23% decline in profits due to rapidly falling crypto prices, according to its recent regulatory filing.
This is also the second round of layoffs for the Brisbane-based cryptocurrency trading platform in 2022. Earlier this year, it sacked 74 employees.
Of course, Swyftx is not alone. Last week, Melbourne crypto start-up CoinJar also axed 20% of its employees.
The entire cryptocurrency is reeling from the sudden collapse of the FTX empire, which some critics believe could be the end of crypto. Roughly 30,000 of Australians have been affected by the downfall of the $32 billion giant. While Swyftx didn’t have any direct exposure to the troubled FTX exchange, it has been hit by a crisis of confidence triggered by the company’s collapse.
Even before the FTX-induced crash, some key industry players, such as Coinbase and Gemini, announced mass layoffs. Kraken, Dapper Labs, Galaxy Digital and other prominent names were among those who were forced to reduce their staff amid the ongoing crypto winter.
However, Ripple and some other companies remain seemingly unfazed by the crypto winter as they continue hiring.