“2022 has been a very tough year for the broader tech industry, especially the cryptocurrency market,” Luno said in a statement, adding that its growth and earnings were impacted by the recession. Over $1 trillion in value was wiped out of the crypto sector in a year, and rising interest rates fueled recession fears. The crash has led to the bankruptcies of major industry players such as crypto hedge fund Three Arrows Capital and Celsius Network.
But the biggest blow came after major exchange FTX filed for bankruptcy protection in November. Its rapid decline has led to intense scrutiny by global regulators on how cryptocurrency companies hold their money and conduct business.
CNBC, which first reported on Luno’s job cuts, said more than 330 billion of the roughly 960 employees who were forced out of the routine of the cryptocurrency market would be affected by layoffs.
