Indian Crypto Giant CoinDCX Adjusts Workforce With 12% Reduction Amid Market Challenge
- CoinDCX, a major Indian crypto exchange, trimmed 12% of its workforce due to a prolonged bear market and strict taxes, affecting 71 employees.
- The government’s 30% crypto tax has slowed investments, causing uncertainty among investors despite market fluctuations.
- India explores crypto tech like digital signatures but lacks clear crypto legislation.
CoinDCX, a prominent cryptocurrency exchange in India, has revealed plans to reduce its workforce by approximately 12% due to the lingering effects of a prolonged bear market and India’s stringent tax regulations, according to CoinDesk.
The announcement comes as the company grapples with decreased revenue and evolving business priorities.
The exchange is set to lay off 71 employees whose roles are no longer aligned with the current strategic direction of the company. This decision impacts various teams within the organization, highlighting the extent of the restructuring effort.
CoinDCX, which maintains a workforce of around 590 employees, has felt the impact of the bear market on its operations.
The cryptocurrency landscape in India has been characterized by uncertainty, with the government implementing a 30% tax on crypto earnings, leading many investors to reconsider their involvement.
While some investors continue to hold their assets, the prevailing pessimism coupled with sudden market downturns has dampened overall sentiment.
In a separate development, the Indian Ministry of Electronics and Information Technology (MeitY) has expressed interest in enabling the use of cryptographic tokens for digital document signatures through an indigenous web browser.
Despite this, India has yet to introduce any legislative framework for Web3 or cryptocurrency, even as it advocates for international crypto regulations as the G20 president.
India’s stance on cryptocurrency remains complex, with the central bank opposing its legalization while simultaneously exploring the potential for a central bank digital currency (CBDC).
CoinDCX’s decision to streamline its workforce underscores the challenges faced by crypto businesses in the country, navigating market uncertainties and regulatory intricacies in their pursuit of sustainable growth.
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