The crypto industry has been hard hit over the last few months, as the FTX collapse and macroeconomic factors have caused a “crypto winter” that has forced many firms to make deep cuts.
Protocol Labs, the creator of decentralized storage network Filecoin, is the latest firm to join the list, announcing that it is cutting 21% of its staff, or 89 jobs.
Other firms, including Crypto.com, ConsenSys, and Coinbase, have also announced layoffs in the last few months. These job cuts are part of a broader trend in the tech sector, with crypto making up 4.0% of total layoff numbers in January 2023.
While these cuts are painful for the industry, they are necessary in order to survive the current economic conditions and emerge stronger once the market recovers.
Companies are taking steps to reduce costs, while trying to ensure that they remain competitive and viable in the long term.
These job cuts are a reminder of the volatile nature of the crypto industry, and the need to remain aware and prepared for unexpected changes.
While the current situation is difficult, the industry has weathered hard times before and will likely do so again.