Ex-Wall Street Employees Among Those Jilted by Coinbase

Staff from Goldman Sachs, JPMorgan Chase, Wells Fargo left the banks for roles at the cryptocurrency exchange

article-image

Blockworks exclusive art by axel rangel

share

key takeaways

  • More than 300 individuals are listed on Coinbase’s database of affected candidates
  • Former employees from tech giants including Amazon, Walmart, Facebook and Twitter also left their jobs

Former employees from some of Wall Street’s top banks quit their jobs to join Coinbase, but were left hanging after the cryptocurrency exchange rescinded a number of accepted job offers.

People with backgrounds in finance, marketing and customer experience from JPMorgan, Wells Fargo, Citigroup, Goldman Sachs and BlackRock were affected by the company’s hiring pause announced on June 3, according to a talent directory posted on its website.

They’re among more than 300 other candidates that are listed on Coinbase’s “Talent Hub,” a database of individuals the company created to support those who lost their offers by connecting them to future employers.

According to the database, Coinbase was angling to boost its legal and compliance teams with hires from Robinhood and Gemini. Software engineers from Amazon, Flipkart, Walmart, Facebook, TikTok, Twitter, GitHub, Netflix and Chewy are also on the list of rescinded offers.

Coinbase’s Chief People Officer LJ Brock said in a blog the decision to pause hires was influenced by a combination of cryptocurrency volatility and “larger economic factors.”

The firm faced backlash on social media for revoking offers from people who had already left previous roles, with one communications expert slamming what seemed like a “hire-first and strategize later” approach. But others in the industry downplayed the move, suggesting judicious use of resources is a thoughtful plan of action.

“Many companies are cautious of hiring at the moment, but this is not a bad thing,” Martin Škorjanc, chief executive at crypto exchange NiceHash, said.

“Most places saw massive rapid expansion in the last 18 months, so now it’s a logical time to consolidate and set up for further growth on the other side,” he added.

An ongoing crypto correlation with equities, in a downswing driven by macro forces such as accelerating monetary tightening around the world, seems to have snubbed out optimism and sparked frustration in the short term.

Alongside Coinbase, the Winklevoss twins’ Gemini exchange said it would slash 10% of its staff due to macroeconomic and geopolitical factors.  

“With uncertainty abound regarding when the market downturn may reverse, the natural prudence of operational decision-makers comes into play,” Jonathan Chen, head of operations at NFT-request platform Creaticles, said. “This can translate to staff downsizing and other cost-saving measures.”

Even so, some other companies in the industry are on a hiring spree. Layer-2 Ethereum startup Immutable told Blockworks it plans to raise its headcount to 400 this year and projects a runway of more than four years. Digital exchanges Kraken and FTX, DeFi lending protocol Maple and crypto fintech Liminal also have plans to up their workforce.

Coinbase did not immediately respond to a request for comment by Blockworks.


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the On the Margin newsletter.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2023

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Unlocked by Template.png

Research

With the spot ETH ETF approval, the institutions are coming. stETH - given its dominance in marketshare, existing liquid market structures, and highly desirable properties - is poised for institutions.

article-image

Plus, the rise of RWAs could bring about a significant shift in how real-world investments are managed and accessed

article-image

The distributed cell plan provider started selling its own hotspots in October 2023

article-image

The Brazil-based asset manager’s filing comes during a year of milestone bitcoin and ether fund approvals

article-image

The purchase of five sites in Georgia set to help CleanSpark hit its mid-year operating hash rate target of 20 EH/s

article-image

Plus, it’s beginning to look like we may be in for a cruel summer

article-image

Sponsored

Engaging with XDC provides access to cutting-edge financial tools and places investors at the forefront of the trade finance revolution