CoinFLEX, a cryptocurrency exchange, has fired a "substantial" section of its <a href="https://www.cryptoknowmics.com/news/opensea-fires-20-of-staff-in-effort-to-prepare-for-prolonged-downturn/" target="_blank" rel="noopener">staff</a> to reduce operational expenses as it works to recover after stopping withdrawals last month entirely. The company made the announcement today in a weekly update, stating that it is doing so to give itself "every chance to be a successful business." That currently signifies a slimmer one.

The company claimed it had to fire team members from all departments and locations to position itself to be successful with its recovery plans. According to CoinFLEX, it reduced the cost base by 50–60%, and those costs that were still incurred were concentrated on product and technology. The firm said in the <a href="https://coinflex.com/blog/coinflex-update-july-29-2022/" target="_blank" rel="nofollow noopener">blog post</a>,
<blockquote><em>"We will monitor costs to ensure we operate as efficiently as possible and scale as volumes come back," </em>

<em>"The intention is to remain right-sized for any entity considering a potential acquisition or partnership opportunity with CoinFLEX."</em></blockquote>
<h2>CoinFLEX Stopped Accepting Withdrawals</h2>
Due to volatile market conditions and uncertainties with a counterparty, CoinFLEX stopped accepting withdrawals last month. However, it assured customers that the counterparty was not the troubled hedge fund Three Arrows Capital or any newsworthy loan companies. The exchange gave a projected schedule at the time, which included operational withdrawals by June 30.

CoinFLEX intended to raise money by releasing a new token, Recovery Value USD (rvUSD), with promises of a 20% yearly return to restart the platform. The rvUSD plan was put on hold when the June 30 deadline passed. As a result, the firm started arbitrage proceedings in Hong Kong to collect $84 million from a client. The company announced that it is attempting to attract funds from new investors and can eventually resume withdrawals.

CoinFLEX Laid Off Employees To Cut Costs By 50-60%

CoinFLEX has fired a section of its staff to reduce operational expenses as it works to recover after stopping withdrawals last month.

Usha is a diehard crypto enthusiast and has been actively writing on different facets of the blockchain and crypto world. She has authored many research articles on cryptocurrency and aims to provide informational and quality content to readers. She firmly believes that crypto has a great potential to redefine the world of finance and blockchain.

CoinFLEX Laid Off Employees To Cut Costs By 50-60%

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