BlockFi announces second wave of layoffs

The platform initiated a “voluntary separation program” to bring the company in line with current market conditions

19.07.2022 - 15:40

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2 min

What’s new? BlockFi's online platform announced a second round of layoffs, Decrypt writes, citing its own sources. This comes a month after a 20% reduction in staffing. BlockFi has reportedly initiated a “voluntary separation program” for employees to bring the company in line with current market conditions.

Decrypt's material

What is known about the program? An anonymous source said that BlockFi is offering employees 10 weeks paid leave and 10 weeks of health insurance if they voluntarily terminate their contracts. The company also claims that they would then be able to claim unemployment benefits.

Earlier, the US division of the cryptocurrency exchange FTX entered into an agreement with BlockFi, under which the platform would be granted a revolving loan of $400 million with the possibility of redemption at a price of up to $240 million, depending on the economic indicators.

On July 18, it was reported that cryptocurrency exchange Gemini held a second round of layoffs a month and a half after cutting 10% of its staff. The platform laid off another 7% of employees due to “extreme cost cutting.”

Other crypto projects are laying off employees amid the downturn in the digital asset market. Thus, the mining company Compass Mining laid off 15% of its staff, and NFT-marketplace OpenSea will reduce its staff by 20%. Crypto exchanges Coinbase and Huobi cut 18 and 30% of employees respectively, and trading platform Bitpanda — more than 70%.

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