The bitcoin market is facing difficult times. for the market as a whole. Many investors have a tendency to believe that they are the only ones that lose money and that everyone is out to get them. However, the truth is completely different. There are currently millions of us confronting our fate. And it’s not just the investors. Businesses that specialize in the industry are also struggling. If Binance is an exception, the rest of the industry is suffering as a result of a hiring announcement and a collaboration agreement with Cristiano Ronaldo. Mass layoffs were announced by Coinbase. And closer to home, one of the oldest exchanges on the market is also in disarray in Europe, specifically in Austria. Bitpanda GmbH is this.
The first cryptocurrency exchange in Europe is called Bitpanda.
The exchange Bitpanda was established in Austria in 2014. The three creators, Eric Demuth, Paul Klanschek, and Christian Trummer, abandoned the moniker Coinimal and established their first headquarters in London in 2018. Despite the state of the market, it was a good time for the exchange. The business raised $52 million in September 2020 from investors including Pieter Thiel. The agreement with VISA for the introduction of a card in 2021 was what got the exchange talking. The company most recently raised $260 million in August 2021. $4 billion in market value the chance to establish offices in Berlin.
For the Bitpanda teams, life has thus been a long, tranquil river. Naturally, the work was challenging. However, there were achievements. The exchange sector is, nonetheless, highly competitive. The fees of would-be bitcoin traders are being fought over by everyone. Furthermore, the demise of competitors is undoubtedly due to Binance’s dominant position. Bitpanda is only ranked 66th in Coinmarketcap’s ranking of exchanges despite having a robust legal and fiscal system and a significant country of origin. Having a volume of slightly over $7 million per day, down 44% today. The platform has over 270,000 weekly visitors and provides about 40 trading pairs. These trading pairings are what make this platform strong. Strong fiats like the Swiss franc and the euro are among them.
The platform is experiencing a severe crisis.
But as we already stated, Bitpanda’s celebration is finished. During the day, a message was broadcast across the company’s networks. During a phone call earlier today, we regrettably had to announce the departure of a portion of the staff. To stay true to Bitpanda’s vision and keep constructing the top investing platform in Europe and beyond, we made this exceedingly difficult choice.
Bitpanda is thus affected by the crisis like everyone else. It’s interesting to observe, though, the causes that the trade teams have presented. Geopolitical tensions, rising inflation, and concerns about an oncoming recession have all contributed to a significant shift in market attitude during the past few months. Although we are aware that the financial sector is cyclical, there is currently a great deal of uncertainty in the markets, and no one is certain when attitude will shift.
