Gemini has slashed 10% in its staff, the first reductions since 2014. Gemini founders credit “crypto winter”, as the reason for their move.
Gemini, a US-based crypto exchange operator, has cut about 10% of its workforce. Tyler Winklevoss and Cameron Winklevoss published a blog post today.
Gemini didn’t disclose the number of employees it had cut. However, according to its LinkedIn page, more than 1,000 people work for the company. This could translate into about 100 jobs. Gemini didn’t immediately respond to a request for comment.
This is , reportedly Gemini’s first announcement of layoffs since 2014. These layoffs come amid a bearish crypto market, and macroeconomic conditions in which job cuts are increasing. Layoffs.fyi reports that nearly 15,000 people lost jobs at start-up companies last month.
“This is the current situation, in the contraction phase. It is now settling into a period decadence — what our industry calls ‘crypto winter’. All of this has been made worse by current geopolitical and macroeconomic turmoil. The blog post was written by the billionaire Winklevoss brother.
Sagging crypto prices
The highs of November last year have seen crypto prices fall this year. The result is that trading volumes on crypto exchanges, including Gemini, have fallen.
According to The Block Research, Gemini held less than 2% of crypto trading volume last month, compared to Binance’s 64% market share.
Gemini wants to concentrate on products that are essential to its mission because of the turbulent market conditions, according to the Winklevoss twins.
Gemini’s physical offices remain closed today. Remote conversations will be held with affected employees to discuss their separation packages and benefits. Gemini will hold a companywide “standup” on Friday to discuss its future.
The Winklevoss brothers stated that today was a difficult day but will make Gemini more resilient in the long-term.
Gemini’s staff reductions come seven months after the company raised $400 Million at a value of $7.1 Billion in its initial funding round.
Gemini is joining a host of fintech and crypto startups that have reduced jobs in recent months, such as Robinhood and Bitso.
