According to information provided to CoinDesk on Saturday by the company, the cryptocurrency exchange WazirX, which is based in India, has terminated the employment of more than 50 people as it works through a period of declining volumes.
WAZIRX Lays off 40% Staff
According to reports from CoinDesk, the cryptocurrency exchange has let go of as many as 70 employees, which accounts for roughly 40 percent of the company’s total workforce.
In a statement that was released on Saturday and shared with CoinDesk, WazirX said, “The cryptocurrency market has been in the grip of a bear market because of the current global economic slowdown.” “When it comes to taxes, regulations, and getting access to banking, the cryptocurrency industry in India has its own set of unique challenges. This has resulted in a significant decrease in volume across all Indian cryptocurrency exchanges.”
The company is hoping that by laying off employees, it will be able to maintain adequate financial stability to weather the downturn in the crypto market. Employees in customer service, human resources, management, and other departments were affected, and they will each receive 45 days of pay following termination of their employment.
The staff reductions at WazirX come after Indian authorities opened an investigation into the company for possible involvement in money laundering nearly two months ago. On August 5, 2022, the Directorate of Enforcement in India placed a hold on funds belonging to WazirX totaling $8 million.
It was speculated that Binance had acquired the cryptocurrency exchange in India. Binance co-founder and CEO Changpeng Zhao asserted that the company’s acquisition of WazirX never actually took place, despite the fact that WazirX’s funds had been frozen.