The downturn in global financial markets has had a dramatic impact on the behavior of tech firms and investors alike. But perhaps no reversal is as dramatic as that of crypto exchange Coinbase – after announcing not too long ago that the company was due to triple in size in the near future, according to a public employee note, the firm is now planning to slow down or halt new hiring entirely.
Coinbase struck an optimistic note even in its public statement on the slowdown, claiming that, “While we may be slowing down our hiring, we have no intention of slowing our pace of product development or our relentless customer focus.” The numbers, meanwhile, tell a darker story: like many of its peers, Coinbase posted massive losses for Q1 2022, and its stock has dipped considerably below the $300 per share of last year’s IPO.
As would be expected of a major player like Coinbase, the company doesn’t plan to take this downturn lying down. With major investments in new compliance services, the company appears to be exercising caution in the face of what may be a momentary dip in its upward trajectory.
“We’re in a strong position – we have a solid balance sheet and we’ve been through several market downturns before, and we’ve emerged stronger every time,” said Chief Operating Officer Emilie Choi.