The latest reports suggest that WazirX, the largest cryptocurrency exchange in India has laid off almost half of its employees.
WazirX Lays Off Up to 70 Employees
According to reports, WazirX has recently laid off almost half of its employees. To be exact, the Indian exchange has announced that it has laid off 40% of its overall employees.
The overall workforce WazirX had previously was up to 150 employees. The information surrounding WazirX’s latest action has been confirmed by multiple internal sources.
The exchange made a sudden announcement that the access of all of the laid-off employees had been revoked at the company. They were asked not to report for work the very next day of the announcement.
Statement Released by WazirX
The WazirX officials also released a public statement where they mentioned the reason for making such a decision.
They mentioned that the cryptocurrency market has been facing a downtrend for a long time. The situation has been in turmoil involving cryptocurrencies and they are also facing its impact.
The situation is not just with their exchange but it is on a global scale because the economy is impacted all over the world. Given the recent developments and circumstances, their exchange had no choice but to lay off almost half of its employees.
New Crypto Tax’s Impact is Visible
It is a fact that WazirX is not the only cryptocurrency exchange in India that is facing a difficult operational situation in the country. Other cryptocurrency exchanges are also facing a problem ever since the new crypto tax has been implemented.
The cryptocurrency transactions and revenues are already entitled to a 30% tax. However, the government of India recently announced another 1% crypto tax on top of the already-in-place taxes.
This was a huge blow that led to the cryptocurrency industry in India, whether cryptocurrency service providers or investors.
The implementation of the 1% tax has forced investors in India to find other mediums. The 1% tax rule has been implemented on the local cryptocurrency exchange while the foreign exchanges are not bound to the rule.
Therefore, the crypto investors have started downloading and moving to the Binance exchange where there is no 1% tax rule.
The sudden move of the investors has resulted in causing huge plunges in the trading volumes for all major cryptocurrency exchanges in India.
Huge Decline in WazirX’s Trading Volume
The recent tax implementation is proving to be a crypto killer in the country. This is because even WazirX, the largest crypto exchange in India has recorded an enormous decline in its trading volume.
Just for comparison, the trading volume recorded on WazirX back on October 28, 2021, was 478 million INR, and the volume recorded on October 1, 2022, was just 1.5 million INR.