The cryptocurrency exchange Huobi, following the Chinese manufacturer of mining equipment Bitmain, confirmed its plans to cut its staff.

No cuts, but optimization

Huobi confirmed the information circulated in the Chinese media about future staff cuts. But the company chose to avoid the word "layoffs" and called the process “optimising staffing”. Huobi will fire its worst-performing employees.

At the same time, the head office of the Huobi Group in Beijing added that they would continue to recruit employees for key positions in new markets.

According to the Chinese newspaper South China Morning Post (SCMP), more than 1,000 people are currently employed at Huobi.

Earlier it was reported that Huobi cut 100 employees last week, and in the near future, up to half of its office staff may undergo optimization.

One of the Huobi employees, on condition of anonymity, told that the exchange forces employees to pass the blockchain exam, which consists of more than 2,000 questions. One can pass the exam no more than two times, and if both of them are unsuccessful, this employee is dismissed.

Crypto winter

Earlier it became known about large-scale layoffs in the Chinese mining equipment manufacturer Bitmain. Due to the fall in the cryptocurrency market and the decline in mining profitability, Bitmain decided to reduce more than half of its employees in the near future.

“A part of that is having to really focus on things that are core to that mission and not things that are auxiliary. As we move into the new year we will continue to double down on hiring the best talent from a diverse range of backgrounds,” said Bitmain in the statement.

Allegedly, Bitmain employs more than 2,000 people, so this optimization will affect about a thousand employees in China.

Earlier, Bitmain announced the closure of its blockchain development center in Israel, which was opened in 2016. Although the company itself did not explain its decision, the market believes that the closure of Bitmaintech Israel is the result of a fall in the cryptocurrency market.