Exchanging cryptocurrencies Beginning on July 19, Coinbase intends to halt its affiliate programme in the US. The publicly traded company has justified its choice by pointing to the unfavourable forecast and existing market circumstances.
In an email, Coinbase advised its affiliates to get rid of all US affiliate connections before the deadline. Users' IO would be modified to reflect the US as the restricted zone, according to the message. All inquiries should be sent to the exchange's accelerator programme site, per their request. According to reports, consumers would get access to all updates while taking market trends into account.
The most recent report from Coinbase comes as the exchange's market share is declining. The company's stock has fallen 84 percent from its all-time high of $357 to its current price of $53.42.
The company's prognosis is still bleak, after Goldman Sachs' June sell rating on the shares. According to reports, the downgrading is related to a decline in trade volume and trading activity after a crypto market drop.
In June, Brian Armstrong, the CEO of Coinbase, made an 18% employee reduction announcement, underscoring the difficulties the digital asset exchange is now facing. The following executive statement also said that the economic climate was deteriorating and may lead to a recession. Armstrong insisted that the business must reduce expenses while increasing efficiency.
The bankruptcy of important service providers has generally been observed in the crypto sector as a whole. Following a suspension of customer withdrawals because of the adverse market climate, cryptocurrency lender Celsius recently applied for US bankruptcy protection. Other businesses that have risked insolvency due to pressure on cryptocurrency lenders and hedge funds include Three Arrows Capital and BlockFi.
Some of the causes that have put cryptocurrencies in a protracted downward trend include the high rate of inflation and the US Federal Reserve's interest rate rise. Despite a minor price rebound, the majority of cryptocurrency transactions are still pessimistic. At the time of publication, Bitcoin had risen by 0.24 percent to $20,946 while Ethereum had gained 5.40 percent to $1,259 in the previous day.