Top Indian Crypto Exchange Unicoin Fires 50% Of Staff Due To Financial Issues
Unicoin Exchange Reduces Its Personnel Due To Financial Problems
Unocoin, one of the most popular exchanges in India, had to lay off employees since it is not able to keep its operations with the current regulatory framework. As reported by The Economic Times, the platform now has 14 employees after firing over a dozen employees.
Unocoin Experiences A Difficult Economic Situation
It might not be the bear market in the cryptocurrency space this time that is affecting a cryptocurrency platform and exchange. Low trading volumes might not be the most important problem for Unicoin. The platform had to reduce the number of employees working on the exchange due to the hostile regulatory situation in the country.
According to the CEO of the exchange, Sathvik Vishwanath, the platform has just cash reserves that would allow it to remain operative just a few more months. The operations will continue in the short term, but if they want to keep in the market, regulations should become more favorable for them.
On the matter, the CEO of the platform commented:
“We did ask people to leave last week, but our operations will continue for the foreseeable future. We have some amount of reserves to push through for the next couple of months and will wait for the Supreme Court’s verdict.”
India has taken very hard measures in order to control the cryptocurrency market. This is something that has affected the whole community and space in the country. Just two weeks ago, the crypto exchange Coindelta announced that it was closing. According to the exchange, the decision to shut its operations down is related to the fact ban imposed by the Reserve Bank of India (RBI) on banks in the country, which cannot offer services to crypto companies.
Many exchanges have been experiencing similar situations in the last months. For example, Zebpay decided to move abroad and stop offering services in the Indian market. The platform was the oldest operating in India and due to the regulations imposed on banks, they were not able to keep operating.
There are other firms around the world that had to lay off employees due to the bear trend in the space. The crypto market fall has harmed many companies in the ecosystem that couldn’t develop their products and services. One of the firms affected by the bear trend was ConsenSys. The company reduced 13 percent of the number of employees working and changed its business strategy for the future.