One of the popular cryptocurrency platforms in Argentina – Lemon Cash – has laid off 38% of its total workforce to endure the current tough times.
CEO Marcelo Cavazzoli assured the layoffs had nothing to do with FTX’s recent collapse and thanked his team for their hard work over the years.
The next victim
In a recent “open letter to the community,” Cavazzoli announcement that Lemon Cash has reduced its workforce by approximately 100 employees, or 38% of the workforce:
“Today I have sad news to share with you, the one that no entrepreneur wants to give. I have decided to reduce the size of our team by 38%.”
While the executive feels “great pain” for making the move, it could secure Lemon Cash’s mission in the long run. The company has no plans for any investment in the coming months and layoffs appear to be the only way to minimize costs in the current unfavorable macroeconomic reality.
“It’s the right decision to make the company sustainable,” added Cavazzoli.
The CEO further emphasized that the personnel changes were not the result of The collapse of FTX. However, he revealed that the struggling trading platform had invested in Lemon Cash in the past, while the latter had “small” exposure to Alameda Research.
The Argentine entity does not hope to recover this allowance and ensures that it will have no impact on its more than one million customers.
Afterwards, Cavazzoli expressed his gratitude to his team and pledged to continue the hard work so that Lemon Cash can maintain his position in the region:
“I will be eternally grateful to the team that accompanied us on this mission. I assure you that I will work every day to make it a reality.
The layoff frenzy
The crypto winter has triggered a wave of layoffs across the industry, and many exchanges have already taken such action.
Gemini – a US-based trading platform run by billionaire twins Cameron and Tyler Winklevoss – fired 10% of his team in June and an additional 7% in July.
One of the giants in the field – Coinbase – laid off 18% this summer. CEO Brian Armstrong argued that the global economy appears to be heading into recession after a decade of economic boom, which is why such changes are critical to the entity’s survival.