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BlockFi Initiates ‘Voluntary Separation’ To Cut Workforce: Report

Published 07/19/2022, 10:24 AM
Updated 07/19/2022, 10:30 AM
BlockFi Initiates ‘Voluntary Separation’ To Cut Workforce: Report

  • A BlockFi employee revealed that BlockFi is giving its workforce 10 weeks of paid leave and 10 weeks of continued health insurance to resign.
  • This news follows the lending platform axing 20% of its staff last month.
  • OpenSea recently announced laying off about 20% of its employees.

Cryptocurrency platform BlockFi is offering employees a buyout option to discreetly cut its headcount, a staffer disclosed.

In an exclusive with Decrypt, the BlockFi employee revealed that the lending firm is giving its workforce 10 weeks of paid leave and 10 weeks of continued health insurance to resign. The report narrated that the company assured its employees that they will be eligible for unemployment benefits if they accept the buyout.

The report further confirmed that BlockFi indeed offered buyouts to its employees.

This news follows the lending platform axing 20% of its staff last month due to the “dramatic shift in macroeconomic conditions worldwide.” According to CEO Zac Prince, the employee count is down to 680 from 850 employees.

BlockFi is not the only crypto firm struggling to thaw the effects of the dragging crypto winter. Just recently, cryptocurrency exchange Gemini made the second round of layoffs in the company, with reports claiming that more may be on the way.

Individuals close to the situation allege that about 7%, or around 68 members, were laid off in the company. However, the company has yet to make an official announcement internally and externally regarding the downsizing.

Gemini’s first round of dismissal saw about 10% of the platform’s employees pack up their bags. According to Gemini’s blog, the layoffs were a response to the market’s “contraction phase” and to allow Gemini to focus on products they deem critical.

Similarly, OpenSea, the largest NFT marketplace, also announced that it had reduced its staff last week. In a tweet on July 14, CEO Devin Finzer said, “we’re letting go of ~20% of our team. The tweet came with a note detailing the layoff.

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