On June 13, the firm said it would cut 1,100 U.S. workers, representing 18% of its workforce, because of the importance of staying lean during recessionary times.
Before the job cuts were announced, staff had criticized the company's poor performance in an online petition that has since been deleted. The petition called out several senior execs, a move Coinbase co-founder Brian Armstrong said was dumb on multiple levels. Despite recent bearish price action in cryptocurrencies, Coinbase's Vice President of Business Development and Internation, Nana Murugesan, said the company plans to increase its European presence at retail and institutional levels.
Murugesan said that the company has hired its first employee in Switzerland and that it will consider acquisitions that will speed up expansion plans as valuations have plummeted in the sector during the downturn.
The price of cryptocurrencies has recently sunk due to several factors such as scandals at Terra and Three Arrows Capital, which come on top of harsh macroeconomic conditions.
The DXY's price has gone up by 1.2% since June 27 and investors are fleeing to dollars.
The market leader,BTC, went below the psychologically important $20,000 level on June 29. Analyzed the 200 day moving average shows that BTC is on track to close three consecutive weekly candles below this level, an event that has never happened before.
The 200 day moving average represents the average price of the last 200 days or 40 weeks and is considered a key indicator for long-term trends.
The price of the Coinbase did not respond to the announcement, trading flat to close on June 29 at $49.75, down 1.4%, on the same day on June 29. The year-to-date losses for COIN come in at 80%.
On June 27, investment banking firm Goldman Sachs downgraded Coinbase's stock from neutral to sell, adding that expenditure outflows remain a concern.
The Q 2 monthly transacting users and total trading volume is expected to decline from the previous quarter. The Q 2 report is scheduled to be released on August 9.