- Gemini joins other crypto exchanges such as Coinbase in reducing their workforce.
- This would be Gemini’s third layoff in eight months.
Cryptocurrency exchange Gemini has joined the growing list of crypto and tech companies to lay off staff in 2023, and announced that it would slash its headcount by 10% in what would be its third round of layoffs in eight months. As reported by The Information, Cameron Winklevoss, the president and co-founder of Gemini, explained the decision in an internal message, saying,
It was our hope to avoid further reductions after this summer, however, persistent negative macroeconomic conditions and unprecedented fraud perpetuated by bad actors in our industry have left us with no other choice but to revise our outlook and further reduce headcount.
The crypto market has not had the start many projects anticipated, with several giants such as Coinbase, Crypto.com, and Genesis all laying off hundreds of employees. Genesis recently filed for bankruptcy protection and reportedly owes Gemini $765.9 million. The twin brothers Cameron and Tyler Winklevoss have also taken to Twitter to wage war against Digital Currency Group, the parent company of Genesis, over the funds owed.
Gemini laid off 10% of its workforce in June, followed by more layoffs in July. According to reports, the company’s entire employee count decreased from 1,100 at the beginning of 2022 to 650 to 700 employees at the end of the year.
The massive layoffs by both crypto and tech companies are being carried out in anticipation of a looming recession. Some of the Web2 behemoths that have reduced their headcounts in 2023 include Google, Amazon, and Microsoft.
This is a developing story and will be updated to include official comments.