CoinSwitch Takes Measures Amid Crypto Bear Markets: Lays Off 44 Employees

• ByStartupStory     |    August 29, 2023

CoinSwitch, a cryptocurrency services company, has undertaken a workforce reduction, leading to the departure of around 44 employees. The impacted individuals were part of the customer support team. According to the company, the decision was made to align the team’s size with the existing volume of customer inquiries on the platform. A spokesperson from the crypto services platform explained, “This impacted the roles of 44 members of our customer support team, who voluntarily resigned from their roles after a detailed discussion with their managers earlier this month. Over the last year, many support team members have been absorbed into other functions based on the suitability of their skills for the other roles.”

CoinSwitch becomes the second firm in the cryptocurrency sector to implement layoffs. Its competitor, CoinDCX, also reduced its workforce by 12% this month, citing challenging macroeconomic conditions. In June, CoinSwitch expressed interest in potentially entering the Indian stock trading arena, as reported by the media. The Indian stock trading sector is currently dominated by players like Zerodha, Groww, Upstox, and Paytm Money.

Backed by Andreessen Horowitz and Coinbase Ventures, CoinSwitch secured a $260 million Series C funding round in December 2021. It was the first company in India to receive backing from Horowitz’s a16z. The global cryptocurrency exchange volumes have experienced a decline since the crash of FTX in November 2022. A CoinDesk report indicates that Indian cryptocurrency exchanges are in a survival mode due to the imposition of a new tax regime, which is one of the highest globally.

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