Shillong, August 22: Indian cryptocurrency exchange CoinDCX has revealed plans to reduce its workforce by approximately 12% due to the enduring challenges in the crypto market, compounded by macroeconomic conditions and the impact of TDS (Tax Deducted at Source) on domestic exchanges.
As per IANS, CoinDCX’s Co-Founders, Sumit Gupta and Neeraj Khandelwal, communicated in a blog post that the company is committed to supporting affected employees through a comprehensive package. This package includes severance pay equivalent to the notice period, an extra month’s salary, outstanding variable pay and incentives, unused leave encashment, extended health insurance and wellness benefits, and access to counseling.
Acknowledging the difficulty of this decision, the founders expressed remorse for parting with talented team members. They stated, “We had to make a tough choice that involved bidding farewell to some of our brilliant and dedicated team members at CoinDCX. We are deeply sorry for this, and we bear its weight, both in responsibility and in emotion.”
CoinDCX attributed the reduction in its workforce to the prolonged bear market and the ramifications of TDS on domestic exchanges, which have significantly impacted trading volumes and revenues. To adapt to the circumstances, the company implemented cost optimization, increased automation for enhanced efficiency, and adjusted priorities to align with long-term business strategies.
The founders highlighted the need for a more streamlined team structure for a healthier business trajectory and confirmed that the current resizing is aimed at securing profitable and sustainable growth.
The co-founders emphasized that no further workforce reductions are planned and assured that the decision was made after thorough discussions with senior leaders within the company.
They urged startups operating in the crypto and web3 domains to consider recruiting the affected CoinDCX employees, describing them as highly skilled and dedicated professionals in the industry.