Last updated on July 15th, 2020 at 09:17 am
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Coinbase , one of the top cryptocurrency exchanges in the world recently shuts down it’s cryptocurrency exchange office in Chicago reports Fortune.
In May 2018, Coinbase opened an office in Chicago as part of its plan to expand its trading products and increase it’s finance expertise. Not up to a year after its launch in Chicago, the company is shutting down disengaging approximately 30 engineers.
In a statement issued on Tuesday, Coinbase said it would shut down the office and scale back plans to build a new “matching engine” product aimed at high-frequency trading.
“We have made the difficult decision to consolidate the matching engine efforts and thus wind down the matching engine team in Chicago. We will look to relocate a small number of Chicago-based matching engine employees to San Francisco,” said the company.
As was reported by Fortune, a Coinbase spokesperson described the Chicago shut down as a setback to the company’s expansion. He said that the company is more or less adding employees in other parts of its business. The company now focuses more on building other new products other than focusing on high frequency trading.
Following the cryptocurrency bubble in early 2018, many companies under the cryptocurrency sphere expanded it’s branches. Notable companies includes Binance, Huobi, Coinbase etc. After the bubble came a decline in cryptocurrency market which saw the shut down and series of hacks of many cryptocurrency exchanges.
Many cryptocurrency exchanges who generate most of its revenue from trading fees had experienced setbacks within the year. Notable among them is Coinbase which now will focus more on offering other products to increase the company’s revenue following the Chicago office shut down.
San Francisco-based Coinbase also said it would maintain a local force in Chicago, and continue to expand its offices in other parts of the world including New York, London, and Portland.