FalconX to Reduce Staff by 10% in Response to Crypto Market Downturn, and Withdraw Singapore License Application

August 4th. According to Bloomberg, digital asset broker FalconX has globally laid off 10% of its employees to cope with a potential long-lasting downturn in the crypto market. Insiders stated that about half of its Singapore office employees were laid off, including senior management as well as sales and accounting staff.

FalconX is adjusting its Singapore business strategy, shifting its focus to permissionless crypto derivatives trading and planning to withdraw its license application submitted to the Monetary Authority of Singapore. The company stated that it will concentrate resources on core businesses while continuing to retain its presence in the Asia-Pacific region and expanding its regulated business in Europe.

Currently, FalconX has around 350 employees globally and operates in 7 offices in Silicon Valley, New York, London, Singapore, and Hong Kong. In the past 18 months, the company has acquired derivative startup Arbelos Markets, crypto exchange-traded product issuer 21Shares, and blockchain transaction and network technology firm bloXroute.

FalconX is the latest crypto company to perform layoffs following Crypto.com, Coinbase, and Gemini. Reports suggest that the industry is facing an ongoing bear market, cost pressures, and the impact of advancements in AI technology. Since its establishment in 2018, FalconX has facilitated around $25 trillion in trading volume and achieved an $8 billion valuation in 2022 through a $150 million Series D funding round.