Credit service BlockFi cuts 20% of staff

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The wave of layoffs that has swept the crypto business has reached BlockFi, which intends to lay off 170 of its 850 employees amid its difficult economic situation.

Credit service BlockFi following Geminis andCryptoCom announced a large-scale staff reduction. BlockFi co-founders Zac Prince and Flori Marquez expressed regret that 20% of employees will be subject to optimization.

According to top managers, the reason for the reductionis associated with a “dramatic change in macroeconomic conditions around the world.” The latest staff cuts will affect every team at the company as it aims to cut costs in preparation for a “protracted global recession”.

The company management reminds that from the endIn 2020, the staff grew from 150 to more than 850 people. However, BlockFi was unable to adapt to changing market conditions starting in the first quarter of 2022. This forced top managers to pause business expansion and adjust their strategy. Giving priority to profit, the company intends to reduce four main items of operating expenses: marketing, executive compensation, personnel and some suppliers.

Recently, the Gemini trading platform due toThe fall of the crypto market and global inflation announced the optimization of personnel by 10%. A little later, the parent company of Brazil's largest crypto exchange, Mercado Bitcoin, announced that it was laying off more than 80 employees in order to optimize work amid the unstable situation. Earlier, the Argentine cryptocurrency exchange Buenbit announced a change in its hiring strategy and the reduction of 50% of its staff due to the decline in the cryptocurrency and stock markets.

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