The extreme pullback in the cryptocurrency market in recent months has forced Coinbase, Bybit and CryptoCom to reduce the number of employees. Now, Indian trading platform Vauld has joined the league and announced a hefty 30% layoff, counting Pantera and Coinbase among others as investors.
According to a corporate statement available on its website, co-founder and CEO Darshan Bathija said the decision to cut the workforce was made last Friday (June 17) and was prompted by the economic slowdown and prolonged market downturn.
In addition, Vauld will also implement a 50% cut in executive pay, halt most vendor engagements, slow hiring and reduce marketing spending.
The reduction has been made across all teams in the organization with a bias towards marketing and human resources, as the company plans to reduce efforts associated with these teams, Bathija added.
Earlier this month, Coinbase reduced its global workforce by 1,100, of which 8% are believed to come from its operations in India. Bybit laid off an undisclosed number of its 2,000-strong workforce, while CryptoCom reduced its staff by 5%, which equates to around 260 employees. Similarly, cryptocurrency exchange Gemini announced its first job cuts in which it will lay off 10% of its existing staff.
Fighting the crypto winter
The Singapore-based startup blamed uncertain market conditions and “uncertainty in the eyes of customers” due to the current turmoil in the market for the “painful” decision. Vauld had continued to hire in 2022 despite early signs of an economic slowdown, Bathija admitted.
“We know that resilient companies are built during bear markets. Sanju and I started Vauld during the last crypto winter and we are here because we carefully managed expenses at that time. We believe that these measures are necessary for us to be very strong in the long term,” he said.
Employees affected by the layoff will receive two months’ salary as severance pay, retain their signing/enrollment bonus, and benefit from health insurance for themselves and their immediate family for 12 months. Vauld will also help outgoing employees find jobs, Bathija added.
In addition to trading Bitcoin, Ethereum, XRP, BAT, XLM, USDT, USDC, BUSD, TUSD, and DAI, Vauld also offers some creation services for crypto investors. These include cryptocurrency leveraged fixed deposits and loans and loans. Although Vauld is based in Singapore, most of its employees are based in India.
Founded by Darshan Bathija and Sanju Kurian in 2018, Vauld has raised $27 million so far. The latest funding round wrapped up in July 2021 when it raised $25 million in Series A funding, led by PayPal founder Peter Thiel’s Valar Ventures. Pantera Capital, Coinbase Ventures, CMT Digital, Robert Leshner, Cadenza Capital, and Gumi Cryptos also participated in this funding round.
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