Web3 Employment Market Semi-Annual Report: Job Openings Surge After ETF Approval, Asia Rises as Remote Work Becomes Mainstream
Singapore, India, and Hong Kong are particularly active in recruitment activities.Compiled by: Deep Tide TechFlow
Key Points Summary
Surge in Job Openings After Bitcoin ETF Approval: Following the U.S. Securities and Exchange Commission (SEC) approval of the Bitcoin ETF in January 2024, the number of global Web3 job openings significantly increased, with a year-on-year growth of approximately 20% in the first half of 2024.
Increase in Job Openings in Asia: Job openings in Asia have risen, further narrowing the gap with Europe. Singapore, India, and Hong Kong have been particularly active in recruitment.
Mainnet Job Openings in Asia: Although mainnet job openings in Asia have decreased since 2023, an increasing number of global mainnets are expanding their recruitment in the region, highlighting Asia's growing importance in the Web3 space.
1. Introduction
The recruitment positions of companies reflect 1) the execution of company strategies and 2) the demand in specific industries, which can be used to predict future market activity. In this report, we analyze the trends in global Web3 job openings to provide an overall insight into the Web3 market. This section of the report focuses on the state of Web3 job openings in the first half of 2024. The data is primarily sourced from Web3Jobs, a website that lists job openings in the Web3 field.
2. Global Web3 Job Opening Trends in the First Half of 2024
Global Web3 job openings in the first half of 2024, Source: Web3Jobs, Tiger Research
2.1. Changes in Job Openings Since Bitcoin ETF Approval
After the SEC approved the Bitcoin spot ETF in January 2024, the number of job openings in the global Web3 market began to increase significantly. With rising expectations for market recovery, recruitment activity became relatively active. In the first half of 2024, the number of job openings grew by approximately 20% year-on-year, reflecting a significant increase in overall industry expectations compared to last year.
However, the current level of job openings remains below the peaks of 2021/2022. This is mainly due to various factors such as market conditions and technological innovations. Firstly, the approval of the Bitcoin ETF has a greater impact on the cryptocurrency trading and investment sector than on the broader Web3 ecosystem. The increase in job openings primarily comes from crypto ETF management companies and exchanges rather than Web3 projects.
For example, the number of job openings at crypto ETF management companies like Grayscale increased to 28 in the first half of 2024, up from 7 in the previous half. While job openings at crypto exchanges also increased, the change was not significant as these companies maintained stable demand.
Secondly, the recent market rebound is driven by speculation rather than technological innovation. The market currently leans towards speculative trading, such as meme coins, rather than new technological trends. As mentioned in our previous report, several meme coin projects with market capitalizations exceeding $1 billion have emerged, attracting market attention. This trend indicates a lack of innovative progress driving industry development. Given this short-term speculative trading culture, the actual adoption demand in the Web3 industry is relatively limited.
2.2. June Marks a Return to a Downward Trend in Job Openings
Since June 2024, we have observed a sharp decline in the number of job openings in the Web3 industry. This can be interpreted from two perspectives.
Firstly, the market environment may have worsened. The pressure from the sale of Bitcoin by Mt. Gox and the German government has led to a decline in cryptocurrency prices, along with a subsequent decrease in trading volume, which may have dampened market sentiment.
Secondly, this could also be attributed to seasonal factors. Many companies typically pause their recruitment activities during the summer vacation season in June.
Therefore, the decline in job openings may be a result of both the overall industry downturn and seasonal factors. We need to closely monitor future job opening trends for a more accurate analysis of this situation.
3. Web3 Job Openings by Continent in the First Half of 2024 (Cumulative by Month)
Cumulative Web3 job openings by continent in the first half of 2024, Source: Web3Jobs, Tiger Research
Analyzing the trends in Web3 job openings by region in the first half of 2024, the ranking of job openings is as follows: 1) Remote work, 2) North America, 3) Asia, 4) Europe, 5) Middle East. Notably, remote job openings have begun to surpass those in North America. This change indicates the rapid adoption of remote work in the Web3 industry, reflecting its location-agnostic nature and suggesting that work arrangements are becoming increasingly flexible.
Another significant change is the widening gap in the number of job openings between the Asian and European markets. Since the first half of 2023, Asia has begun to surpass Europe, and this gap continued to widen in the first half of 2024. By the first half of 2024, job openings in Asia accounted for approximately 20% of the total, while Europe accounted for about 15%. This trend clearly indicates that interest and activity in the Web3 industry are shifting towards Asia.
4. Trends in Asian Web3 Job Openings by Industry in the First Half of 2024
Asian Web3 job openings by industry in the first half of 2024, Source: Web3Jobs, Tiger Research
As of the first half of 2024, the most active regions for Web3 job openings in Asia are: 1) Singapore, 2) India, 3) Hong Kong.
Singapore remains the region with the highest number of job openings, growing by approximately 23% compared to the second half of 2023. This growth is attributed to Singapore's clear regulatory framework and crypto-friendly business environment, making it an attractive market.
Hong Kong opened its Web3 market in June 2023, initially seeing an increase in job openings as more Web3 companies entered the market. Many companies prepared to operate in Hong Kong by obtaining crypto licenses. However, when the Hong Kong Securities and Futures Commission (SFC) imposed a ban on mainland services for license applicants, the situation began to reverse. In response, global exchanges like Binance, OKX, and HTX withdrew their license applications, leading to an overall decline in job openings. Consequently, the number of job openings in Hong Kong dropped by nearly 40% compared to the first half of the year, falling to third place behind India.
5. Trends in Asian Web3 Job Openings by Industry in the First Half of 2024
In the first half of 2024, the number of job openings at cryptocurrency exchanges increased by approximately 45.6% compared to the second half of 2023. This growth may be due to the rise in Bitcoin prices and a significant increase in cryptocurrency trading volumes, enhancing the industry's profitability.
Most cryptocurrency exchanges maintained consistent recruitment trends in 2023, with the primary exchanges being 1) OKX and 2) Binance. Previously, Binance had been more active in recruitment, but this trend changed after the U.S. Attorney's Office filed charges against it in June 2023. Additionally, Binance's attempts to obtain licenses in several countries, including Abu Dhabi and the Netherlands, may have contributed to a slight decline in its global recruitment activity.
Interestingly, while OKX's recruitment levels remained similar to the second half of last year, Coinbase's hiring surged dramatically, increasing from 39 people in the second half of last year to 209 in the first half of this year. This spike may be related to the SEC's approval of the Bitcoin ETF. According to a previous Kaiko report, the approval of the Bitcoin ETF led to increased trading volume and liquidity at U.S. regulated exchanges. Coinbase seems to have benefited from this, resulting in a significant increase in job openings.
6. Trends in Mainnet Job Openings in the First Half of 2024
Asian Web3 job openings by mainnet in the first half of 2024, Source: Web3Jobs, Tiger Research
In the first half of 2024, the number of mainnet job openings in Asia slightly decreased compared to the second half of last year. However, it is noteworthy that more mainnets have increased their recruitment activities in Asia compared to last year, with Scroll.io having 14 out of 20 job openings targeting the region in the first half of 2024.
The Web3 gaming mainnet Immutable, based in Australia, has the highest absolute number of job openings in Asia. Other major non-Asian mainnets such as Ripple, Aptos, and Avalanche also continue to show recruitment demand in Asia. Although the absolute number of job openings is not high, it is clear that mainnet participants recognize the business opportunities and potential in the Asian market.
7. Other Significant Job Opening Trends
Source: Story Protocol
In the first half of 2024, several notable recruitment trends emerged. Story Protocol announced plans to launch a Layer 1 blockchain for intellectual property tokenization, attracting significant attention. They began actively recruiting at the start of the year, conducting a total of 16 recruitments.
Although Story Protocol is headquartered in the U.S., recent news indicates that they are also hiring a head of operations for South Korea. This suggests that Story Protocol plans to expand into the South Korean market.
Source: Mocaverse
Animoca Brands is also on a hiring spree. After only hiring four people in the second half of 2023, they increased their recruitment to nearly 40 people in the first half of 2024. Animoca Brands is hiring for multiple projects, including the NFT project Mocaverse and the Web3 chess game Anichess, while also actively recruiting talent for its investment business.
8. Conclusion
In the first half of 2024, the number of job openings in the Web3 market increased compared to the same period last year, but it remains below the recruitment levels of 2021 and 2022. As the industry develops and the market grows, the increase in job openings is a natural trend. However, despite the significant growth scale of the Web3 industry, the number of job openings has not met industry expectations.
This discrepancy is partly due to the Web3 industry's inclination towards short-term consumer trends, such as meme coin trading and airdrop activities, rather than fostering a sustainable ecosystem. To achieve sustainable growth, the industry needs a fundamental shift in discussions and the emergence of new technological trends. If such changes do not occur in the second half of 2024, the risk of stagnation in industry growth will increase.
