Ledger CEO Announces 12% Workforce Reduction Amid Anticipated Bear Market
Summary:
Ledger, a hardware crypto wallet manufacturer, is cutting its workforce by 12% due to the anticipated 2022 bear market and collapse of similar firms, as announced by CEO Pascal Gauthier. This move comes seven months after the company successfully raised $109 million and hit a valuation of $1.4 billion. Other crypto companies, Binance.US, Nansen, Coinbase, Huobi, and Crypto.com, are also expecting layoffs in the face of an unstable market and changing US regulatory environment.
Pascal Gauthier, the Chairman and Chief Executive Officer of Ledger, a hardware crypto wallet manufacturing company, has revealed plans to trim the company's workforce by 12%. On October 5th, Gauthier revealed in a blog post that this tough decision was taken to ensure the company's survival, in light of the anticipated 2022 bear market and the collapse of firms like FTX and Voyager Digital. With Ledger reportedly having around 734 employees at the time of the announcement, this could mean approximately 88 individuals are facing unemployment.
Gauthier explained that the difficult financial climate is restricting their revenue flow, therefore, to adapt to these market circumstances and business realities, they are compelled to minimize positions throughout their international operations. Regrettably, this leads to a 12% cut in Ledger's workforce.
This news follows Ledger's successful fundraising effort just seven months ago, which saw the company raise over $109 million, boosting its valuation to $1.4 billion. In a move to expand its reach, Ledger integrated its Live software with PayPal in August, permitting US residents with authenticated accounts on the payment platform to purchase cryptocurrencies.
The unpredictable market and shifts in US regulatory framework have led to several crypto companies announcing similar staff reductions. Binance.US saw the departure of its President and CEO, Brian Shroder, amidst a job cut affecting around 100 employees in September. Other firms such as Nansen, Coinbase, Huobi, and Crypto.com have likewise expressed the intention to lay off staff in 2023.
Sidebar: A new 'Account Abstraction' feature is set to revolutionize Ethereum wallets, according to a recent guide published in a magazine.
Published At
10/5/2023 7:06:25 PM
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