On Thursday (June 9), Coinbase Ventures Partner Connor Dempsey threw “a look at the overall macroeconomic slowdown with an eye on the crypto markets.“
In a Coinbase blog post published on June 9, Connor Dempsey said:
- “Central banks and governments responded to the March 2020 COVID market shock with unprecedented interest rate cuts, money printing and stimulus.“
- “These easy money policies kicked off a multi-year bull run for stocks and crypto, before eventually causing inflation that was exacerbated by COVID supply shocks.“.
- “BTC, ETH, NASDAQ and S&P each peaked in late 2021 when it became clear that inflation was out of control and central banks would have to unwind the same policies that propelled stocks and crypto to new heights in the first place.“
- “This cycle, crypto has been largely correlated to tech stocks, and has traded as risky assets.”
- “While not immune to near-term central bank policy, the long-term outlook for crypto and Web 3 remains stronger than it has ever been“.
On May 17, Emilie Choi, President and COO of Coinbase, announced in a post that her company “slows down hiring” in order to “reprioritize” hiring needs against the “highest priority business goals“.
Emilie Choi said:
“At the beginning of this year, we planned to triple the size of the company. Given current market conditions, we believe it is prudent to slow down recruitment and reassess our workforce needs against our highest priority business objectives. Headcount growth is a key element of our financial model, and it is an important action to ensure that we run our business according to the scenarios we have planned, in particular the potential adjusted EBITDA we are targeting. .
“It is important to note that now is the time to ensure that we fully onboard all recent hires, to ensure their success at Coinbase. This slowdown will also force us to be more rigorous in defining our priorities. “