Coinsquare, the Canadian Crypto Exchange, faces financial difficulties!
by Alexander Romero 
Coinsquare, the Canadian Crypto Exchange, faces financial difficulties!
Many crypto exchanges are facing financial problems and laying off staff in the longest bear market in Bitcoin history!
Besides hacking, crypto exchanges are facing a long crypto bear market, tokens have lost 90% of their value, there is almost no volume on exchanges.
Some crypto exchanges are therefore closing down or reducing costs and expenses in human ressources.
Coinsquare, a major Canadian cryptocurrency exchange, has terminated 40 employees of its work team, including top executives such as CFO and COO, as reported by the news portal. BetaKit in a publication on Thursday, January 31, 2019.
According to the report, multiple sources confirmed that Coinsquare, based in Toronto, dismissed a total of 40 employees. So far, the company had about 150 workers, so this figure represents approximately 27 percent of its staff.
Robert Mueller, Coinsquare’s director of operations, worked for a little more than a year on the exchange, was one of those dismissed.
He confirmed to BetaKit that the company’s finance director, Ken Tsang, who was hired at the same time as Mueller, was also fired.
Martin Hauck, the talent manager of Coinsquare has posted a message on his LinkedIn profile explaining the reasons why the company made that decision:
“The space of digital currency / cryptocurrency in constant evolution has been volatile and unpredictable. Many similar companies in our industry have had to make difficult decisions in recent months and Coinsquare also had to do so. The company has made the decision to part with several talented members of the Coinsquare team. ”
For his part, Cole Diamond, CEO of Coinsquare, pointed out the importance of responsibility when managing resources since they operate in a very volatile market:
“We are in the most volatile market that you or I have seen. As a result, we have increased in the last 21 months from three people to a maximum of 150 people.
We decided to make some cuts to make sure to protect our strong position in the market and our overall dominant position as the strongest company not only in cryptocurrency, but also in blockchain in Canada. ”
Diamond also noted that this decision is difficult because it is a large number of talents.
However, he acknowledged that although Coinsquare does not have problems like its competition in Canada, the money does not flow to its market at the same rate as in the past, and this measure was necessary to guarantee the construction of a financial institution adapted to the 21st century.
Coinsquare has been expanding a lot the last few months, they bought https://www.blockeq.com in december 2018, a crypto wallet.
They also expanded to many new countries in Europe and started crypto trading in Japan also, a very important market in cryptocurrency.
With a long crypto bear market, the longest in history, Coinsquare has to slow down and save money to stay in business so they decided to lay off 40 employees, the CFO and the COO included.
This news comes in a difficult market for crypto projects and crypto exchanges, recently QuadrigaCX lost access to all of its crypto funds after the death of its funder in India, read our article about it:
https://bitcoincryptoadvice.com/canadian-crypto-exchange-quadrigacx-lost-access-to-over-190-million-in-crypto-funds
Other crypto exchanges are facing financial problems or even hacking…
The Crypto Exchange https://www.coinpulse.io seems to be closing down too as they did ot find any new investor.
The Ukrainian Crypto Exchange Liqui (Not the Japanese crypto exchange Liquid) is also closing down as they do not have any more liquidity, a funny coincidence when looking at the name of their exchange.
The South Korean Crypto Exchange Roobit is closing down too due to technical problems, they lost a lot of money and cannot stay in business…
800 investors seem to have lost their money, Sisafocus reported!
And finally Cryptopia, the crypto exchange from New Zealand, it was hacked and lost over $16 million Dollars in Crypto Funds, the hackers stole the private keys and still have access to Cryptopia’s crypto wallets…
The hackers are still stealing money from Cryptopia’s crypto wallets, they are unable to regain access to their crypto funds as they did not have any copy of their private keys…
Read our article about the Cryptopia Hack: https://bitcoincryptoadvice.com/cryptopia-exchange-hacked
With this long Crypto Bear Market, some crypto companies will die, that’s how it works in a new economy, only the strongest survive. And there will be more victims during 2019, some crypto projects will also disappear.
There will be a lot of victims in the crypto trading sector with this bear market that is the longest in the history of Bitcoin!
It is also a logical economic consequence, the weakest disappear because they can not cover their operating and personnel costs.
It will surely have new victims among cryptocurrency exchanges, so avoid leaving your crypto coins on crypto exchanges and especially on those who seem the most fragile.
The crypto bear market is not over yet, some cryptos projects will also surely disappear, do your research, resell if necessary the cryptos whose projects seem to have financial problems and buy more secure cryptos in the top 10 of the crypto market like Ethereum or Bitcoin that are safe assets compared to other crypto startup companies.
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