Crypto exchange Kraken shuts Abu Dhabi office, lays off 8 employees

Crypto exchange Kraken has shut its Abu Dhabi office less than a year after winning a local licence, part of a retrenchment that involves cutting almost a third of its global workforce.

The company laid off the majority of its team focused on the Middle East and North Africa, affecting about eight roles, a spokesperson said.

A registry for Abu Dhabi Global Market, where Kraken received a crypto licence last April, no longer shows an active entity in the company’s name.

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The exchange has suspended support for transactions in the UAE’s currency, but clients in the region will still be able to use other products and services. That doesn’t require a local licence, the spokesperson said.

Turmoil in crypto markets last year prompted a wave of layoffs across the industry, with Kraken, Coinbase Global, Crypto.com and Gemini announcing sweeping cost-cutting efforts.

While prices of digital tokens have regained some ground so far in 2023, volumes remain thin, hurting exchange revenues.

Kraken plans to keep several employees based in MENA and Benjamin Ampen, managing director for the region, will stay with the firm.

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