Huobi to Start Layoffs That Could Exceed 30% — Huobi will “start layoffs, which may reach 30 percent,” according to local Chinese bitcoin and blockchain journalist Colin Wu, who made this announcement on June 28, 2022.
The cryptocurrency sector has been plagued by layoffs as workers have been let go by businesses like Blockfi, Coinbase, Gemini, Bitso, Buenbit, Rain Financial, Bybit, and 2TM. Executives have reduced worker numbers mostly due to the crypto winter and volatile markets.
Also Read: Financial Companies Report First Deal With Digital Assets Under Russian Law
Wu explained that the “severe decline in revenue after the elimination of all Chinese users” is “the fundamental reason” Huobi is cutting workers. However, no formal statement originating from official Huobi sources has been made on such acts.
On June 28, a business representative did inform Coindesk writer Oliver Knight that Huobi is now examining the company’s regulations.
Due to the current market situation, Huobi Global is revising both its hiring procedures and its current workforce with the aim of re-aligning them to its operating requirements. Layoffs are a possibility as a result of this evaluation, the Huobi spokesman added.
On July 1, 2022, Colin Wu revealed another “exclusive” by saying that Leon Li, a co-founder of Huobi, may be trying to sell a portion of the business. Wu’s assertion is unverified, and Huobi has made no official statement regarding these actions.
Leon Lin, the founder of Huobi, wants to sell his stake in the company. Li Lin currently owns more than 50% of the shares, according to Wu’s Twitter post. Sequoia China is the second-largest shareholder in Huobi. After removing all Chinese users, Huobi’s revenue plummeted, and the company is now cutting off employees.
According to Coingecko statistics, Huobi has had substantial growth over the last 12 months, and the exchange is currently the fifth-largest centralized trading platform by trade volume.
Huobi offers 1027 trading pairs and 577 different digital currencies. The exchange has seen $856 million worth of international trade volume during the last 24 hours.
In terms of assets under management (AUM), Huobi Global is the third-largest centralized exchange with $7.86 billion as of this writing.
According to information from Bituniverse, Peckshield, Etherscan, and Chain.info, Huobi currently possesses 160,950 BTC, 2.13 million ether, and USDT valued $746,3 million.
Also Read: El Salvador doubles down on Bitcoin bet to the tune of $1.5 million
Huobi announced that it had acquired the Latin American exchange Bitex at the end of May 2022. Two weeks later, Huobi introduced Ivy Blocks, a blockchain and Web3-focused investment arm.
