• Gemini, a crypto exchange company, has reportedly cut down another 10% of its global staff according to a recent report.
• This latest headcount reduction is the crypto exchange’s third round of lay-offs in the past eight months.
• Gemini co-founder Cameron Winklevoss wrote in an internal message that persistent negative macroeconomic conditions and unprecedented fraud perpetuated by bad actors in their industry have left them with no other choice but to revise their outlook and further reduce headcount.
Gemini, a crypto exchange company founded by the Winklevoss twins in 2005, is facing pressure following their engagement with the now-bankrupted crypto lender firm Genesis. According to a recent report published by The Information, the company has cut down another 10% of its global staff. This latest headcount reduction is the crypto exchange’s third round of lay-offs in the past eight months.
Gemini’s first round of layoffs occurred last June amidst extreme market conditions. The company let go of a tenth of its staff in order to remain competitive in the industry. Weeks later, the company laid off another 68 employees, or about 7% of its workforce, in an effort to save costs.
In an internal message disclosed by The Information today, Gemini co-founder Cameron Winklevoss wrote that it was their hope to avoid further reductions after this summer. However, persistent negative macroeconomic conditions and unprecedented fraud perpetuated by bad actors in the industry have left them with no other choice but to revise their outlook and further reduce headcount.
The U.S. Securities and Exchange Commission (SEC) recently charged Gemini over the alleged unregistered offer and sale of securities to retail investors. The company has been backed by $423 million in funding and provides crypto-related services, including providing a crypto wallet for storing digital assets.
Gemini’s staff reductions are a reflection of the ongoing challenges faced by the crypto industry. Despite the ongoing relief rally in the crypto market, negative news seems to be never-ending. As the crypto space continues to evolve, companies like Gemini will need to remain agile and ready to adjust their strategies in order to remain competitive.