From GS: Coinbase will need to make substantial reductions to its cost base to “stem the resulting cash burn” as retail trading activity slows down, the note said, adding that the company faces a difficult choice between shareholder dilution and significant reductions in “effective employee compensation,” which may have a negative impact on talent retention. #coinbase #crypto
Yup, they are planning to effectively reduce the base pay soon.. If anyone has a problem, they will be asked to leave with a severance.
Wow.. reducing base ..
Looks like more layoffs coming. From goldman too: "We believe further cuts are needed, as the announced cost reduction effort merely brings headcount back to end-1Q22 levels and resulted in COIN moving to the low end of its previous expense guidance," Nance wrote. "We believe COIN will need to make substantial reductions in its cost base in order to stem the resulting cash burn as retail trading activity dries up."
https://finance.yahoo.com/news/goldman-sachs-downgrades-coinbase-june-2022-140921679.html More layoffs coming 🤔
This is not good.. they were hiring till last month... They should be freezing hiring for a year or two before starting firing...
They fired 1100 employees 2 weeks ago..
Because of their annual stock-based comp employees are expecting new grants worth a total of 1.4b on Feb 2023. Mass dilution / layoffs come eitherway
$1.4B is a big number. #coinbase
Total comp?