Indian Exchange WazirX Laying off 40% Manpower

We are in the bear market and it certainly affects the community and even exchanges are impacted by this. When the bull run is ongoing in the crypto market then we can see many good initiatives around ad this also results in more hiring. We can not deny the fact that crypto exchanges are generating a good number of employees across the world. Even during covid the crypto community and exchanges have done pretty well and hired a lot of people. This was a good help when people are losing their employment in crypto things were different.

It seems like not things are turning another way around and some exchanges are laying off their teams. Basically, they are reducing their manpower and this is like a cost-cutting during a bearish market. Indian crypto exchange wazirx has also started doing the same and this is not a good move I think. There has been a lot in India for crypto and even with the exchange because now seems like Binance is not part of it. This exchange was grown a lot after the binance acquisition but recently after the argument on social media, it's possible that now the deal is canceled. ED had frozen the bank account for the exchange and later it was restored. This is good and hopefully with this exchange can also gain the trust back as govt did not find anything wrong in their operation.

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Because the market is down and crypto prices are falling so there is less trade happening as compared to the volume that we see in the bull run. There is also no surety that how long it will continue. Indian exchanges are going through a tough time because of taxation and TDS implementation and this is why the trading volume has gone down by over 70%. Exchanges earn most of their revenue through their crypto trading business and if that is reduced then it will impact their income badly.

"The crypto market has been in the grip of a bear market because of the current global economic slowdown," WazirX said in a statement on Saturday. "The Indian crypto industry has had its unique problems with respect to taxes, regulations, and banking access. This has led to a dramatic fall in volumes in all Indian crypto exchanges.

I just hope that things improve but that is not in our hands. If this continues long then probably we can see many exchanges following the cost-cutting practices. This is a required measure for exchanges to reduce the cost so that they can run the business. Keep a high cost in the business and with reduced revenue, it's not a good idea to drag it further. It's always suggested to find the way out and seems like wazirx is going to do the same.

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These are ups and downs in the market and a time when these companies need to manage their business because once the market recovers then things will be easy for them. Probably they need to find alternate ways to figure out the solutions rather than cutting the manpower and if they are able to do this then hopefully this will also be another way out for such companies to run the business in a bearish market. We are going to witness pull and beers in the market always so following the approach where these companies can lay down the staff is not the right strategy. Let's just hope that not many exchanges try to do this but I don't think it will happen because if the bearish market continues for a long then probably we can see many more names in the list who will be laying off their manpower.

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