Coinbase CEO says it is laying off 18% of its workers

The company will reduce its workforce by 18% in order to stay healthy.

At the time of writing, the market cap of the exchange is under $12 billion, and it is trading at nearly $52 per share.

Over the last month, he has had a number of conversations with his management team, according to a post on his website. The company growing too quickly was one of the reasons for the layoffs.

In the last 18 months, the company's employee costs grew four times, and they were too high to effectively manage the market.

In the next hour, every employee will get an email from HR telling them if they are affected or unaffected by the layoffs. He said in the post that every affected employee would receive an invitation to have a conversation with their HRBP.

If you are affected, you will receive a notification in your personal email. This is not the experience I wanted for you, and I realize that removal of access will feel sudden and unforeseen.

The decision to cut ties with employees was made to protect customer data.

According to the post, laid off employees will get 14 weeks of severance and an additional two weeks for every year of employment.

Four months of health support and mental health support will be given to the U.S. based employees.

The company scrapped its original plan to increase its workforce by threefold due to the volatile market.

A number of tech companies have laid off a lot of their employees. More than 16,000 employees were given pink slips in May, according to a report.