Bitmain Fires Employees for Sharing Salary Information Online
Bitmain, the leading manufacturer of Bitcoin mining ASICs, has taken the decision to terminate the employment of workers who violated company policies by disclosing salary details on the internet. Reports emerged on October 8 that Bitmain had salary arrears and had not paid the 2022 bonus. The company also had the authority to withhold half of employees’ base salary and withhold performance-based wages entirely due to cash flow issues. Bitmain expressed its displeasure with the public release of employee salary data and warned of potential legal action against those involved.
Cryptanalyst Colin Wu revealed internal correspondence indicating that Bitmain suspended salary payments on October 3 due to financial difficulties. Negative operating cash flow in September affected the company’s ability to meet obligations to employees, creditors, and counterparts. Bitmain is not the only crypto company experiencing layoffs; Ledger, a hardware wallet manufacturer, plans to lay off 10% of its workforce, while KuCoin reportedly considered cutting 30% of its staff.
Hot Take: Crypto Layoffs Continue Amid Economic Challenges
The cryptocurrency industry is facing economic challenges that have led to layoffs in major companies. Bitmain’s decision to fire employees for sharing salary information online highlights the strict confidentiality policies in place. Cash flow problems have resulted in delayed salaries and bonus payments, impacting employees’ financial well-being. Similarly, Ledger and KuCoin have also been affected by economic difficulties, resulting in job cuts. These layoffs demonstrate the need for companies in the crypto space to navigate financial uncertainties effectively. As the industry continues to evolve, finding sustainable business models and adapting to market conditions will be crucial for long-term success.
By
By
By
By
By