Coinbase to slash nearly 1,000 jobs

STORY: Coinbase will cut its workforce by about 950 employees.

The company made the announcement Tuesday (January 10) in the latest sign of problems in the crypto industry.

The job cuts are part of a restructuring plan.

Coinbase said it expects to incur up to $163 million in expenses.

The crypto sector lost more than a trillion dollars last year, largely due to rising interest rates and worries about an economic downturn.

Major players like Three Arrows Capital and Celsius Network shut down.

While the biggest blow came when major crypto exchange FTX filed for bankruptcy protection in November.

The firm's quick fall has led to tough regulatory scrutiny of how major exchanges hold user funds.

Coinbase Chief Executive Brian Armstrong said in a blog post that the firm was dealing with the fallout from 'unscrupulous actors' in the industry.

He also said Coinbase would stop projects that had a lower probability of success.

The latest cuts would be the third round of layoffs at the exchange over the past year

In June, Coinbase cut more than 1,000 jobs, and shares in the firm lost roughly 86% of their value last year.