Crypto firm BlockFi to cut headcount by 20%

Cryptocurrency firm BlockFi said on Monday it would reduce its headcount by about 20% as it takes on a strategic review of its priorities amid difficult market conditions.

BlockFi said the job cuts will impact every team in the firm.

The layoffs come at a time when inflation in the United States has climbed to its highest in decades and geopolitical tensions have roiled global markets alongside a sector-wide selloff in technology stocks.

The company’s headcount has grown multi-fold over the last few years in tandem with the popularity of digital assets, jumping to over 850 from about 150 at the end of 2020.

However, cryptocurrency prices have been on a downward slide this year amid a broader market slump, which has left crypto firms, lenders and traders reeling.

BlockFi said it had also implemented other cost-cutting measures to bring expenses down, including reducing its marketing spending and lowering executive compensation.