Coinbase Inc. has announced that it is shutting its Chicago office and laying off 30 engineers less than a year after opening it.

The office, which supported a division called Coinbase Markets aimed at institutional investors, was working on building a new “matching engine” that assisted in high-frequency trading.

The office originally supported about 100 employees, though how many were working in the office when the announcement was made today is not clear. Coinbase said that along with laying off 30 engineers, other employees would be relocated to the company’s San Francisco head office.

The company also said that high-frequency trading products are no longer a priority and that it will instead focus on other products including custody services and over-the-counter trading. Development of the matching engine is said to be continuing, though with a lower priority.

“To become the ‘Google of crypto’ we have to be comfortable making big bets,” a spokesperson for Coinbase told CoinDesk today. “Some of them will be audacious and some of them won’t work out.”

Speculation for the decision ranges from a change in focus to lower cryptocurrency prices.

“It’s possible Coinbase simply no longer feels it needs the added glory of a shiny new high-frequency, low-latency matching engine,” The Block noted. “The exchange already dominates the market, holding 50% of trading volume for regulated exchanges in the US, according to sources.”

Forbes took a wider look, suggesting that Coinbase’s decision to shut down the office is related to the crypto crash. “Even as the industry shows signs of recovery,” it wrote, “Coinbase and others have been searching for fresh strategies and new sources of revenue.”

Even though Coinbase is closing up shop in Chicago, it’s still hiring in other areas, so the net loss may not be all that large even in the short term.

Bitcoin continues to recover, surging through $5,500 in trading Tuesday after investors changed track from the week before. Bitcoin was trading at $5,537.87 as of 9:45 p.m EDT after nearing $5,600 earlier the day, its highest level this year.

Image: 30478819@N08/Flickr