The Brazilian company let go of 15% of its employees two months after announcing an earlier round of job cuts.
The parent company of Latin American exchange Mercado Bitcoin, 2TM, has announced a second round of layoffs as companies continue cutting back amid crypto winter.
According to Bitcoin Portal, a Brazilian cryptocurrency publication also owned by 2TM, the company let go of 15% of its employees due to continued “adversity in the economy.” The publication stated that it “regrets the loss of colleagues.”
Previously, 2TM claimed that the competitive environment for exchanges was “unfair” without the approval of a legal framework for digital assets in Brazil, with companies that abide by the law being penalized compared to those that don’t, according to a translated statement from the company.
The recent round of layoffs follow earlier cuts from 2TM that took place in June, where the company let go of 12% of its 750 employees, or about 90 workers, citing “changes in the global financial landscape.”
“The scenario requires adjustments that go beyond the reduction of operating expenses, making it necessary also to lay off part of our employees,” 2TM said at the time in a statement. “The process we have carried out has been guided by transparency and respect, to honor the legacy of each employee who has helped us get this far.”
Over the course of this summer, numerous companies throughout the cryptocurrency industry announced layoffs as digital asset prices faltered. 2TM joins a list of companies that have had to make multiple rounds of dismissals, which includes Gemini Trust Co., Crypto.com, and Robinhood.
Other exchanges based in Latin America have also let go of employees amid this year’s market downturn in the crypto market, including Bisto, which let go of 80 employees in late May, and Buenbit, which canned 45% of its workers around the same time, reducing its headcount to around 100 from 180.
In its recent announcement, 2TM said the company will be extending healthcare coverage for employees that it was forced to let go of and offer them assistance with daycare as they look for new jobs.
Founded in 2013, Mercado Bitcoin claims to be the largest crypto exchange in Latin America with over 1 million customers, according to its website. During its Series B round of funding in July of 2021, 2TM received a $200 million investment from the SoftBank Latin America Fund, yielding the company a $2.1 billion evaluation. It was cast as the “first crypto unicorn in Brazil.”
Mercado Bitcoin has seen just over $800,000 worth of volume in the past 24 hours on its exchange, according to CoinGecko, with its most frequently traded tokens being Bitcoin, Ethereum, and Shiba Inu.
Bitcoin Portal announced that it had become a part of 2TM last month, stating the website drew in an average of 2 million unique visitors per month.