According to a recent report, Blockchain.com has laid off a quarter of the company’s staff and it has closed the crypto company’s Argentina-based offices as well. The layoffs follow the report that noted Blockchain.com lost $270 million due to exposure to Three Arrows Capital (3AC).
Blockchain.com Lays Off 150 Workers Citing Crypto Winter Conditions
On July 21, 2022, a Blockchain.com representative told Coindesk in an email that the company has laid off 150 workers or 25% of the staff. The company further notes that executive salaries and the CEO’s compensation were also cut back.
According to the reporter Ian Allison’s words from the source, Blockchain.com cited “harsh bear market conditions” and the desire to “absorb financial losses.” Allison was also the reporter that revealed Blockchain.com lost $270 million over exposure to 3AC as Allison was able to review a letter to shareholders written by the CEO Peter Smith.
The source on Thursday explained that the firm’s recent 25% reduction has brought Blockchain.com’s workforce down to the size it was in January. The company also closed its Argentina-based offices and specific parts of the company will be toned down.
The report notes that efforts dedicated to institutional lending, gaming ideas, and the company’s non-fungible token (NFT) marketplace will be slowed. Blockchain.com’s layoffs follow a number of firms that have revealed staff cuts including crypto companies like Bitso, Robinhood, Coinbase, Gemini, 2TM, Rain Financial, Blockfi, Bitpanda, Buenbit, and Crypto.com.
The largest NFT marketplace by sales volume Opensea just recently cut 20% of its staff and Gemini had its second round of layoffs this week as well. To date, a few thousand employees from various cryptocurrency and blockchain-related firms have been let go and all of the companies have cited the bearish crypto winter.
What do you think about Blockchain.com letting 150 workers go during the bearish crypto winter? Let us know what you think about this subject in the comments section below.
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