According to Financial News, one of the largest cryptocurrency exchanges in the United Kingdom is starting to reduce its staff. Coinfloor, founded in 2013, in recent years has held a key position in the UK market.
According to Coinfloor chief executive officer Obi Nvos, layoffs on the London Stock Exchange occur as a result of a significant change in trading volume and are considered as a failure of the local market.
Although Nvosu confirmed the layoffs, he did not specify the number of employees affected. He said that this personnel adjustment process is typical for companies operating in such volatile markets. Coinfloor has experienced significant changes in trading volume, as the exchange rate has been falling for most of the year and stalled in recent weeks.
Coinfloor initially focused on professional traders and large investors interested in digital currencies. In March last year, it became the first exchange to announce plans to introduce cryptocurrency futures trading. These changes were supposed to allow investors, traders, hedge funds and miners to gain access to cryptocurrency contracts supported by institutional management.
Since Coinfloor was launched in October 2013, many more platforms for cryptocurrency trading appeared, which now, according to CoinMarketCap, more than 200 companies worldwide. Since then, several other companies have appeared, targeting the same group of investors, which has led to an increase in competition and a decrease in market share for the company.