Fewer fintech startups incorporated in 2023, 72% decline since 2021, 55% YoY: Report
This does not reflect the data for startups with less than 10 employees or do not have a website or LinkedIn page.
Amid the crypto world witnessing regulatory uncertainty, Crypto exchange CoinDCX laid off around 12 per cent of its workforce, citing changing business priorities and the challenging business environment.
The information was shared by founders Sumit Gupta and Neeraj Khandelwal in a blog post on Tuesday.
It is to be noted that the crypto industry has witnessed trading volumes plunge by 85 to 90 per cent in the past year, amid high taxes and TDS charges.
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“As you all know, startups and businesses globally are going through challenging times due to tough macro conditions, more so in crypto because of the prolonged bear market and impact of TDS on domestic exchanges. These factors had a significant impact on our volumes and thus revenues,” Gupta and Khandelwal said in the blog post.
“To adapt, we undertook several proactive measures, including direct cost optimization and investment in automation to drive efficiency and productivity. We also reprioritized certain initiatives/products in line with our long-term business strategy,” they added.
The startup announced the Laid-off employees will be provided with necessary assistance and resources, including severance pay equivalent to the full notice period, an additional one month of salary, variable pay and incentives owed, encashment of unused leaves, an extension of health insurance and wellness benefits, and access to counseling support.
CoinDCX is one of the most well-funded startups that became the first crypto unicorn in the country in 2021 with a valuation of $1.1 billion.
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