Luno Cuts 35% of its Workforce: Crypto Industry Struggles

  • January 25, 2023

Luno joins the club of exchanges that reduced their headcount amid crypto winter.

London-based cryptocurrency exchange, Luno, announced on Wednesday that it will be cutting 35% of its global workforce, impacting more than 330 jobs.

The company, which is part of the Digital Currency Group (DCG) crypto conglomerate, informed employees of the redundancies during a live-streamed town hall.

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In the wake of the announcement, the company’s employees have expressed mixed reactions, with some disappointed at the news and others understanding the need for the layoffs.

The company has promised to provide support and assistance to those impacted by the layoffs. The support includes severance packages and career counseling.

In a statement shared with CNBC, Luno cited the current macroeconomic climate and the collapse of industry giants like FTX and Terra as reasons for the layoffs. They added:

2022 has been an incredibly tough year for the broader tech industry and, in particular the crypto market. Luno, unfortunately hasn’t been immune to this turbulence, which has affected our overall growth and revenue numbers.

However, it’s worth noting that previously, the venture capital firm was experiencing financial struggles. Additionally, the lending unit of DCG, Genesis, filed for bankruptcy recently.

Luno has offices in Africa, South East Asia, and Europe, with a total headcount of roughly 960.

The cryptocurrency industry has been hit hard by the recent market downturn. Additionally, the ongoing regulatory scrutiny led to a number of companies downsizing or shutting down operations altogether. 

Aaron S. - Expert Reviewer

by Aaron S. – Expert Reviewer, BitDegree

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