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Coinbase cuts staff by a further 20%

coinbase.com

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Re: Coinbase cuts staff by a further 20%

#231

Post by kingkawn »

spaceman_2020 wrote: post #213
jesuscript wrote: post #105

Earlier quoted context omitted.

My best guess is that raising funding helps raise the valuation, especially as they approach IPO. So raise money for the sake of raising the valuation. You don’t really need the money, but you got it. What are you going to do with it to appease the investors? Well you gotta act like you are doing something with it, especially something that shows growth. Hire more. Hire more because we imagine more. Keep imagining un…

I think everyone was completely caught off-guard by the ferocity and pace of the crypto drawdown. Volumes have atrophied completely . It's not a cooling of retail interest vis-a-vis the stock market, but complete apathy and/or hatred. See the volume data for OpenSea as an example.

Absolutely nobody paying even a drop of honest attention was surprised by any part of the crypto drawdown

Re: Coinbase cuts staff by a further 20%

#232

Post by danrocks »

nextstep wrote: post #225
TekMol wrote: post #184

It is strange, that so far Coinbase has not took any steps towards supporting the Lightning Network. If the Coinbase app supported it, that would allow all of the Coinbase users to do real decentralized micropayments. Any theories, why they don't do that?

Because the lightning network is garbage?

How do? Asking genuinely since I don’t use anything crypto.

Re: Coinbase cuts staff by a further 20%

#234

Post by radicalbyte »

spaceman_2020 wrote: post #213
jesuscript wrote: post #105

Earlier quoted context omitted.

My best guess is that raising funding helps raise the valuation, especially as they approach IPO. So raise money for the sake of raising the valuation. You don’t really need the money, but you got it. What are you going to do with it to appease the investors? Well you gotta act like you are doing something with it, especially something that shows growth. Hire more. Hire more because we imagine more. Keep imagining un…

I think everyone was completely caught off-guard by the ferocity and pace of the crypto drawdown. Volumes have atrophied completely . It's not a cooling of retail interest vis-a-vis the stock market, but complete apathy and/or hatred. See the volume data for OpenSea as an example.

If you were caught off-guard then you've been sitting in a massive bubble. There has been open distrust and hatred of cryptocurrencies since long before NFTs were a thing.

I would argue that NFTs did more to spread the word that cryptocurrencies are a farce than they did to create "value" for those behind them.

Re: Coinbase cuts staff by a further 20%

#236

Post by krisoft »

ptero wrote: post #198
SilverBirch wrote: post #87

Coinbase is a weird company, because it's got such an obvious comparable: CME Group. CME Group has about 3500 employees, did 1.2bn in revenue last quarter with 680m net income. Then you have coinbase now trimmming to about the same number 3500, 590m revenue and a net income loss of 550m. That's right, as far as I can see, Coinbase loses $1 for every $1 of revenue. Firstly, I don't see how Coinbase needs as many peopl…

There was a lot of hype and an expectation (IMO wishful thinking) that NFTs would have a very broad penetration in the society, for example replace physical collectibles. If that did turn out to be true, most people would require a lot of handholding for taxes, complex global regulation, etc. which the Coinbase would provide, as well as collecting the exchange fees. Under this premise it is reasonable to hire up to b…

> for example replace physical collectibles

But that is crazy. It is not that hard to understand the collectibles business is emotion based. You tickle the soul of the customers just the right way so they want to own a hoard of your crap. Then you create an artificial scarcity to profit from, and a thin veneer of "but-it-is-not-a-waste-of-money-because-i-can-sell-it-later" feeling to make your customers not instantly regret the transaction.

I understand that an NFT might do some of it, but to replace all the physical collectibles? Are rich businessman going to parade around wearing NFTs on their wrists? Crazy. :D

Re: Coinbase cuts staff by a further 20%

#237

Post by forthefuture »

rvz wrote: post #164
jesuscript wrote: post #105

Earlier quoted context omitted.

My best guess is that raising funding helps raise the valuation, especially as they approach IPO. So raise money for the sake of raising the valuation. You don’t really need the money, but you got it. What are you going to do with it to appease the investors? Well you gotta act like you are doing something with it, especially something that shows growth. Hire more. Hire more because we imagine more. Keep imagining un…

This is no different to other tech companies and startups that have over hired during the low interest hype and have aggressively raised money. It is essentially the VC hype cycle and are meant to dump their holdings on retail once the stock is publicly listed. We're all just see how tech startups and other companies are getting slaughtered over market conditions and NOW need to cut costs, spend less, hire less and t…

Amazon was founded in 1994 and turned their first profit in 2001. A better example would be Uber, which ran negative until they had less than one year of runway remaining and then were somehow allowed to scam pedestrians into keeping their unprofitable taxi business solvent.

Re: Coinbase cuts staff by a further 20%

#238

Post by lottin »

danuker wrote: post #215
nxmnxm99 wrote: post #212

Earlier quoted context omitted.

I don't know how you equate "speculative value" with "valid projects". Bitcoin has value because people are long on crypto. "Long" has an end date - just because it's 50 years instead of 10 years doesn't mean it's not coming.

If there's less crypto being issued than fiat, and demand were constant as a % of people's wealth (which I admit is a big if), then crypto is bound to go up. There is no end date to government currency debasement.

This is to say that if demand outpaces supply, price is going to go up. However, this is true of any asset. So why mention specifically 'crypto', as if there was something magical about 'crypto' that means it's bound to go up?

Re: Coinbase cuts staff by a further 20%

#239

Post by gjadi »

iLoveOncall wrote: post #163
reverend_gonzo wrote: post #148

Earlier quoted context omitted.

Inexperienced engineers simply don’t have the experience to make good hiring decisions. Having them being involved in the process is fine, but they should be shadowing someone more senior.

Well, most FAANGs would like to disagree. But they must all be wrong.

I don't have data nor an opinion on this matter, but maybe most FAANGs are successful despite their hiring practice, not because of it.

Re: Coinbase cuts staff by a further 20%

#240

Post by consumer451 »

code_runner wrote: post #153
consumer451 wrote: post #102

Earlier quoted context omitted.

Does that cover legal/regulatory/compliance?

Obviously crypto companies can get by without any real regulatory considerations for a while…

I believe Coinbase is the exception here.
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