The crypto domain Bitcoin.com fires staff in a bid to restructure operations and achieve a lean workforce. As the economic situation deteriorates in nations across the world, Bitcoin.com fires staff and has decided to operate using a skeleton team. With coronavirus pandemic ravaging through the world, these are definingly tough times to be in business.
Only five days remain before BCH halving, and such significant layoff can only fuel further panic. The decision to lay off 50 percent of the staff is reverberating through the crypto sector. There’s no shortage of speculation as to what will be the exact impact of halving on BCH price and volume. The brutal market sell-off due to COVID-19 has devastated many asset classes. So, when Bitcoin.com fires staff, it isn’t surprising.
As Bitcoin.com fires staff, others will follow suit
Predicting the exact outcome of halving on a crypto asset is impossible. The recent COVID-19 inspired sell-off has led to large scale disruptions. To respond to such high volatility and price movement, the Bitcoin network lowered the mining difficulty to 13.91 TN from the earlier 16.55 TN on March 26. This was done to ensure that the adverse effects of halving are countered in case the price recovery isn’t as swift.
Recently, it was reported that miners had shifted base from BCH to Bitcoin mining. This mass exodus of miners led to miner capitulation, which further contributed to the steep decline in BCH prices. However, it has not followed the recovery trajectory posted by Bitcoin and instead remains at ultra-low levels. Its founders, too, haven’t shown much positive outlook. As per a report from Candor, there are many companies that are cutting spending on hiring or firing staff altogether as a result of the economic downturn.
Bitcoin.com isn’t the only firm laying off employees. Recently, notable crypto names, including Ripple and Bitfury, have also cut staff in a bid to stay afloat using a lean workforce. Drastic measures are put in place to ensure that fragile crypto firms stay in business. And that does mean more layoffs are coming in the next few months. With miners abandoning the ship and staff being laid off, the future prospects of BCH don’t look bright.