Home Business Crypto bosses like me need to let go of some of the most talented people in America. Here’s Why You Should Jump On Hiring Crypto Castaways

Crypto bosses like me need to let go of some of the most talented people in America. Here’s Why You Should Jump On Hiring Crypto Castaways

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Crypto bosses like me need to let go of some of the most talented people in America.  Here’s Why You Should Jump On Hiring Crypto Castaways

Crypto winter has arrived – and it’s getting cold for the thousands of employees laid off in response to the industry’s worst downturn in several years.

I should know. My cryptocurrency business is one of many that had to downsize earlier this year when the crypto market crashed. Simply put, we were overstaffed for slower than expected growth. The collapse also came at a time when we were moving away from retail to become a B2B business, so we no longer needed certain roles.

But the loss of the crypto industry is a potential gain for other employers in a range of industries who can benefit from the drive, autonomy and analytical thinking skills that crypto natives tend to possess. have in spades. The global job market is resilient – ​​and employers should pay close attention to any crypto castaways that come their way.

New day, new cuts

Despite its short history, crypto is no stranger to sudden and painful bear markets that force companies to quickly cut staffing costs. This follows a three-year period of exuberant growth that has seen Bitcoin and other tokens reach massive new highs, the influx of millions of retail investors, an explosion of new products and services, and an increase hirings. The number of crypto job openings in the United States increased by 395% between 2020 and 2021, far outpacing the entire tech industry.

Then came the spring of 2022, when every day seemed to bring new news about major crypto job cuts. Coinbase cut around 18% of its workforceor 1,100 jobs, Crypto.com cut about 260 jobsand Blockfi shed lending company about 160 people.

At Coinchange, we laid off almost 30% of our staff, dropping from 70 employees to around 50 during the months of April and May.

Although it looks like the worst is over, I expect a trickle of job losses to continue until the market recovers. Like many of our crypto peers, we are no longer laying off staff, but we have let some vacancies remain vacant.

Being intensely growth-focused, crypto companies like ours have been overhired during the bull market in the race for more customers and greater market share. Now that the air is coming off the market, they urgently need to cut staffing costs to stay afloat and weather a downturn that could be intensified by the deteriorating economic outlook. In other words, hire slow, fire fast. Layoffs are painful, but we do what needs to be done to sustain and grow the business: prioritize long-term shareholder value over short-term pain.

Natural Fits for Crypto Natives

JArguably the most natural home for dislocated crypto talent is the startup world. People who have worked in crypto tend to be good at building things from scratch, taking ownership, and staying flexible.

The crypto industry demands people who can develop their skills in a fast-paced, ever-changing environment without the need for a playbook. This is a very relevant ability for start-ups in technology and other industries.

Web3 applications will integrate the use of blockchain and personal property into a wide range of online experiences, creating increased demand for crypto-related skills and experience. For example, blockchain-based play-to-earn games are still going strong, attracting strong interest from venture capitalists as they increasingly merge the worlds of video games and crypto.

Blockchain technology is also seeping into a wide range of other industries where former crypto employees could add value. Banks and fintech companies increasingly need employees with crypto experience and expertise for their digital asset initiatives.

Retailers need to understand and deploy blockchain solutions for payment gateways, greater transparency and audit. Several oil and gas companies have also implemented blockchain solutions to improve their operational efficiency.

Employers don’t need to be in technology or developing blockchain applications to benefit crypto refugees.

Many of the jobs cut were in positions focused on customer acquisition and retention, such as customer support/success, and marketing and sales positions. Others at risk will be employees involved in special side projects that add little to the core value of the business. At Coinchange, we have reduced staff in the marketing, sales and customer support divisions.

People who have worked in crypto in areas such as marketing and customer success tend to be good at explaining complex concepts in easy-to-understand terms – a highly desirable quality in all sorts of industries and roles. Potential employers can assess these skills by asking candidates simple questions about the industry they come from, such as “What is blockchain technology?” or “Explain Bitcoin to me.”

Crypto workers tend to be global in terms of location and outlook, which puts them in the post-pandemic hiring process that fits into industries such as technology.

Employers should also consider this a time-limited offer to attract and onboard crypto talent. Crypto as an industry isn’t going away – and we’ll soon be back in hiring mode when the next bull market begins.

Maxim Galash is the CEO of Coinchange.

The opinions expressed in Fortune.com comments are solely the opinions of their authors and do not reflect the opinions and beliefs of Fortune.

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