CoinSwitch Cuts Customer Support Team Amid Low Market Activity

Indian crypto investment platform CoinSwitch cuts customer support team in response to low market activity

CoinSwitch, an Indian crypto investment platform, recently laid off 44 employees from its customer support team, reducing the team by more than a third. This decision was made due to the low market activity in the crypto industry. Despite the layoffs, the company still has 82 members in the customer support team.

Main Points:

CoinSwitch laid off 44 employees from its customer support team
This reduction amounts to just under 7% of the total employees
The layoffs were a response to low market activity in the crypto industry
CoinSwitch has hired around 60 people since April, mostly in product tech and compliance
India’s tax regime and bear crypto market have impacted trading volumes and revenue for crypto platforms

Like CoinSwitch, other crypto platforms in India have also had to make adjustments to their operations. CoinDCX, a rival platform, recently laid off 71 employees, which accounted for about 12% of its staff. The decline in trading volumes and revenue, as well as the high taxes imposed by the Indian government (including a 30% tax on crypto profits and a controversial 1% tax deducted at source on all transactions), have contributed to the need for these layoffs.

However, CoinSwitch remains optimistic about the future. The company spokesperson stated that they are open to welcoming back the laid-off employees if volumes grow and new roles become available. CoinSwitch has also provided severance packages and additional benefits for up to four months based on the employees’ tenure with the company.

Hot Take:

The recent layoffs at CoinSwitch and other crypto platforms in India highlight the challenges faced by the industry due to low market activity and strict government regulations. It is crucial for these platforms to adapt and find new ways to thrive in this changing environment. As the crypto market evolves, it will be interesting to see how these companies overcome these obstacles and continue to provide valuable services to their customers.