Crypto lending platform BlockFi is slashing about 20% of its head count, as the fast-changing macroeconomic environment weighs on the company’s growth rate.
BlockFi has about 850 employees, up from 150 at the end of 2020, Zac Prince, the company’s chief executive tweeted Monday.
The crypto lender made the decision as bitcoin
is down 65% from its all-time high in November, while other smaller coins fell even more.
BlockFi has been managing its costs through cutting marketing expenses, eliminating “noncritical” vendors, reducing executive compensation and scaling down its team size, Prince tweeted.
Early this month, crypto exchange Coinbase
said it would extend its hiring freeze and rescinded some accepted offers. Gemini said it would lay off 10% of its employee.
Weakness in crypto markets Monday came as lending platform Celsius announced it was pausing all withdrawals and transfers amid “extreme market conditions,” as its CEL digital token plunged 50%. Others were rattled after cryptocurrency exchange Binance tweeted that it had “temporarily paused #Bitcoin withdrawals on the $BTC network,” due to a “stuck on-chain transaction.”