Indian cryptocurrency exchange CoinDCX has announced a reduction in its workforce by approximately 12%, a decision driven by the prolonged bear market and the impact of Tax Deducted at Source (TDS) on domestic exchanges. The tough macro conditions have significantly affected the company’s volumes and revenues, compelling it to take this difficult step.
The crypto industry has been facing challenging times globally, with startups and businesses struggling to navigate the turbulent market conditions. CoinDCX’s decision comes as part of a broader effort to adapt to these challenges. The company has undertaken several proactive measures, including direct cost optimization and investment in automation, to drive efficiency and productivity.
CoinDCX has also reprioritized certain initiatives and products to align with its long-term business strategy. The current situation has demanded that the company work with a more efficient team structure, leading to the resizing of certain teams to steer the business towards profitable and sustainable growth.
Realigning for a sustainable future
While expressing deep regret over the decision, CoinDCX’s founders, Sumit Gupta & Neeraj Khandelwal, emphasized the need to realign the company for the future. They acknowledged the emotional toll of the decision and the dedication of the team members who will be parting ways with the organization.
To support the impacted employees, CoinDCX has put together a support package that includes severance pay equivalent to the full notice period, an additional one month of salary, variable pay and incentives dues, encashment of unutilized leaves, and extension of health insurance and wellness benefits.
Despite the challenges, CoinDCX remains optimistic about the Indian market and its role in building the Web3 ecosystem in India and beyond. The company has reiterated its commitment to its mission of driving crypto and web3 adoption to 50 million people by 2025 and assured that no further team reduction is planned.
The path ahead for CoinDCX involves weathering the challenges and building a stronger and healthier business. The company believes in the power of Web3 and stands firm in its resolve to innovate in India for the world.
CoinDCX’s decision to cut jobs reflects a broader trend in the crypto industry, where companies are grappling with market challenges and regulatory uncertainties. The bear market and the impact of taxes on domestic exchanges have forced businesses to make tough decisions to ensure sustainability.
As CoinDCX looks towards the horizon, it remains committed to its customers and partners, ensuring their trust and satisfaction remain at the forefront of its priorities. The company’s dedication to delivering outstanding service has not wavered, and it continues to strive toward its topmost goal of customer satisfaction.
With the support of its community, CoinDCX aims to continue building, innovating, evolving, and contributing to the future of the internet.