The American cryptocurrency exchange has announced that it will expand its operations and make changes to its organizational structure as it aims to become the largest crypto platform in the world. As part of the changes, the Kraken crypto exchange will reduce its workforce by at least 15%.
Focus More on Innovation
In a statement, Kraken said the purpose of the restructuring of the business is to make innovation the basis of their operations.
The crypto platform will focus its attention on product engineering, saying it plans to make teams involved in engineering, product, and design teams “more accountable for results”.
According to the exchange, it aims to use data to make decisions that will benefit its customers.
The company also plans to align its high productivity with customer needs, which the crypto company sees as critical to its success.
Kraken, one of the world’s largest cryptocurrency exchanges, on Wednesday announced the layoff of 15 percent of its workforce, a corporate restructuring and the appointment of a new CEO. The layoffs are about 400 of the company’s approximately 2,600 employees. They…
– Wu Blockchain (@WuBlockchain) October 30, 2024
In addition, Kraken will reinvent itself by becoming a leaner organization by eliminating management layers and transforming its workforce into technology-focused and product-focused teams, a move that will make the crypto exchange more efficient while maintaining its innovative quality.
Downsizing
Kraken said in a blog post that the company will cut 15% of its 2,600 workforce, a move that is part of the company’s restructuring, which it says is part of its “disciplinary decisions” to reduce layoffs.
About 400 workers will be fired by the company. Among these are two people in leadership positions, CEO Gilles BianRosa and chief technology officer Vishnu Patankar.
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The company revealed that organizational changes have never been easy, saying that the crypto company understood the “huge impact on people’s lives”.
“We are very grateful to those who have helped us get here and their many contributions, and we will support them in this transition,” the company said in a statement.
Appointing Another Chief Executive Officer
Kraken has revealed that it has brought in a new CEO to serve as CEO for existing CEO Dave Ripley who took over in 2023 after Kraken founder Jesse Powell left the company due to internal conflicts with employees.
On the company’s blog, Kraken welcomed Arjun Sethi as its new CEO who appears to be bringing a new vision to the crypto company. Sethi is also known as the Founder and Chairman of Tribe Capital and a former Yahoo executive.
Ripley said he and Sethi have worked together for many years, expressing confidence in what Sethi can bring to the table. “I’m excited to partner with him as we plan for Kraken’s next phase of growth,” he added.
Kraken Layoff: Smart Move or Not?
Is Kraken’s restructuring a calculated risk in a volatile market or a smart move designed to expand? Cutting its workforce and focusing on innovation will help Kraken increase efficiency and drive expansion. Could this lean strategy set it back in the highly competitive crypto space, or will it help Kraken ahead?
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