Genesis Global Trading, a cryptocurrency lending and trading firm, has further cut staff. A company spokesperson confirmed this in a letter to CoinDesk on Jan. 5.
The company has cut about 30% of its workforce, according to people familiar with the matter. The company is cutting 20% of its 260 employees in August 2022. The sales and business development divisions were particularly hard hit, he added.
“Genesys has made the difficult decision to reduce its workforce worldwide in order to navigate through the unprecedented challenges of our industry. We are truly grateful for the efforts of our talented and dedicated team who continue to strive to find the best long-term results for our business, customers and employees.”
A day earlier, the company said in a letter to clients that it will “reduce costs and drive efficiencies” during the tough environment.
Genesis, a subsidiary of crypto conglomerate Digital Currency Group (DCG), was affected by the widespread market collapse caused by the collapse of FTX (CoinDesk is also a subsidiary of DCG).
In November, Genesis announced that it could no longer withdraw $175 million in its derivatives business. The company then announced that it would stop withdrawing customers in its lending department.
Before the August layoffs, it had sought $1.2 billion back from failed crypto hedge fund Three Arrows Capital.
｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
｜Image: Genesis Trading, Modified by CoinDesk
｜Original: Crypto Lender Genesis Lays Off 30% More of Its Staff