As Bitcoin surges in a bullish trend, reaching $69,000—a level not seen since November 2021—crypto exchanges are experiencing a revival, marking an end to hiring freezes and layoffs that have plagued the industry over the past two years.
Earlier in 2023, leading cryptocurrency exchange Coinbase Global had signaled potential ongoing staff reductions following a 20% reduction in its workforce. Similarly, exchanges such as Crypto.com, Huobi Global, Gemini, and Luno had also resorted to layoffs as part of cost-cutting measures. Binance, the world’s largest exchange, had notably downsized its workforce by 1,000 employees, as reported by The Wall Street Journal in July 2023.
To provide context, data analyzed by Coincub from LinkedIn in October 2023 revealed a staggering 95% decline in Bitcoin-specific job roles and a 90% decrease in the broader crypto job market. In the United States, a significant stronghold for web3 employment, job listings witnessed an 84% decrease, plummeting from 21,901 to 3,418 within a single year.
However, the resurgence of Bitcoin’s price, coupled with anticipation surrounding the upcoming Bitcoin halving event scheduled for mid-April, and the substantial volumes associated with Bitcoin spot Exchange-Traded Funds (ETFs), are revitalizing recruitment efforts within the sector.
End To The Hiring Freeze Era
As Bitcoin continues its ascent, Binance, the world’s largest cryptocurrency exchange by trading volume, is gearing up to expand its workforce in 2024. Vishal Sacheendran, Binance’s Head of Regional Markets, highlighted the company’s focus on recruiting in product, engineering, and compliance domains for the year ahead. While the recent surge in Bitcoin prices hasn’t immediately altered Binance’s hiring strategy, it has rejuvenated optimism and excitement within the industry.
Similarly, Bitget, a crypto exchange, anticipates more job openings, particularly in marketing, as Bitcoin reaches $64,000. Vugar Usi Zade, COO at Bitget, expressed support for the increased attention on the cryptocurrency markets driven by Bitcoin’s stellar performance. He noted that while favorable market conditions may attract traditional finance professionals to the crypto sector, substantial salary hikes are unlikely.
Joe Vezzani, CEO of LunarCrush, a social analytics platform, believes that Bitcoin’s rally may spur hiring among newly funded companies in the crypto space. However, the industry remains cautious due to lingering concerns from the previous bear market, tempering immediate optimism with pragmatic considerations.
While centralized crypto exchanges are seizing the opportunity presented by Bitcoin’s surge to explore new market prospects, DeFi platforms are not witnessing significant changes or increasing their hiring rates at this time.
DeFi Remains Unaffected
Despite the recent surge in Bitcoin’s price, DeFi platform Pendle Finance is maintaining its investment and product development strategies unchanged. According to CEO TN Lee, there are no aggressive hiring plans for 2024, although there is a growing demand for expertise in areas such as business development and growth marketing.
Tristan Dickinson, Head of Marketing at dYdX, shared similar sentiments, emphasizing that DeFi platforms like dYdX won’t alter their strategies in response to market fluctuations. Dickinson highlighted dYdX’s consistent hiring approach, focusing on lean and efficient teams that address specific gaps within the organization. He stressed the importance of maintaining a clear strategic focus regardless of market conditions, suggesting that a measured approach helps mitigate challenges associated with market upturns or downturns.