BlockFi Lays Off 20% Of Workforce: 'Macroeconomic Environment Has Shifted Dramatically'

Zac Prince, CEO of cryptocurrency exchange and lender BlockFi, took to Twitter Inc TWTR on Monday to announce the company intends to lay off 20% of its staff.

Today is a painful day for BlockFi but more so for employees who we have to part ways with. We are doing everything in our power to treat all of our impacted colleagues with the empathy and compassion that they deserve.

— Zac Prince (@BlockFiZac) June 13, 2022
 

“This morning we announced that after taking significant time to plan and consider, we are reducing our headcount by roughly 20%. This is not a decision we take lightly and is one that brings us great sadness,” Prince said on the micro-blogging platform.

Other Web3 clients, including Gemini, Coinbase Global Inc COIN and Crypto.com, have recently announced layoffs due to the mass market selloff that has seen the global cryptocurrency market valuation plummet from about $3 trillion to under $1 trillion in less than a year.

“Since Q1 of 2022, the macroeconomic environment has shifted dramatically, sparking a dramatic pullback in equity and crypto markets. As a result, our number one goal has been to achieve profitability so that we can own our destiny as we navigate what many expect to be an extended global recession,” Prince said.

Related: Cryptos' Market Cap Tanks Below $1 Trillion, Crypto.com CEO Lays Off 5% Staff

During the historic crypto boom in the fall of 2021, BlockFi grew from 150 to 850 employees, according to the company's press announcement.