Crypto trading experienced another negative a crypto exchange in Brazil, 2TM, laid off around 90 workers in a scheme called crypto winter. According to reports, the crypto company decided on this move after its revenue decreased due to the deficit in crypto negotiations.
The crypto platform would rank first in virtual commerce in Brazil and possibly in all of Latin America. This massive layoff would correspond to 12 percent of total employees.
Bearish streak hits Brazilian crypto trade
Everything indicates that the bearish streak reached crypto trading in Brazil after its most relevant exchange, 2TM. This would show that the crypto company follows the trend of other global exchanges that similarly reduced their work staff due to the market crash.
As reflected on LinkedIn, the Market BTC account dedicated to 2TM has about 580 workers, while the exchange headquarters has about 100 people. According to the company’s director, this reform was motivated by the volatility of the current crypto market. But the firm clarifies these layoffs will only allow the exchange to adjust to new projects and is not only focused on reducing labor costs.
Know that since the beginning of 2022, the crypto market has experienced a bearish streak where Bitcoin, its maximum representative, has lost over 60 percent of its value, according to CoinMarketCap. The cause of this bearish streak could be focused on the regulations by the United States and Europe. However, crypto experts maintain that it may be a necessary liquidation for the trade to be maintained.
2TM receives support from the telecommunications company Softbank Group
SoftBank Group, a Japanese telecommunications company aware of movements in crypto trading, believes that 2TM made a good decision. The Japanese firm thinks the resolution is necessary to keep the exchange running in this unfavorable crypto landscape.
It is indicated that the crypto exchange became one of the most valued in the Latin American territory after concluding with a collection fund of more than $250M. The company will raise some $2,2B in funding by 2021.
Without a doubt, 2TM is a crypto exchange with a lot of potential, but unfortunately, it is being overshadowed by the bearish streak of the entire virtual market. In the list of crypto companies affected by the trend is Coinbase, which at the time was the most valued exchange in the world. Gemini was forced to lay off at least 10 percent of its workers after seeing its work scheme unsustainable.
Although crypto trading looks bleak, experts in the field believe everything will change by the year’s second half. Bitcoin is expected to surge in price by over 50 percent in the coming months and experience a new ATH value.