Crypto Lender Celsius Sacks 23% of Its Staff Members

Crypto Lender Celsius Sacks 23% of Its Staff Members

The crypto exchange will continue taking crucial and essential "steps to preserve and protect assets," as well as "explore options available to us."

Celsius, a New Jersey-based crypto platform founded in 2017 by Israeli Daniel Leon, has announced that it reduced its headcount by 150 workers after landing in deep water, meaning that it lost around 23% of its workforce, according to data retrieved from the social network LinkedIn.

The news comes after the crypto lender halted all of its users' withdrawals due to the harsh crypto market conditions on June 13th. A few days later, Celsius also hired restructuring lawyers from the law firm Akin Gump Strauss Hauer & Feld to receive some assistance in solving its financial problems brought by the bear market. Later in June, the exchange welcomed even more advisers to receive some additional help on its possible bankruptcy filing.

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According to the official announcement issued on July 3rd, following the layoff, Celsius will continue battling its financial crisis together with the whole community in order to get through “these challenging times.” The exchange noted:

"We are focused and working as quickly as we can to stabilize liquidity and operations, in order to be positioned to share more information with the community."

In fact, Celsius is not the only one to cut a significant number of its staff. The exponentially growing list also consists of a number of crypto exchanges, including Huobi Global, Gemini, Robinhood, Bybit, Banxa, and Coinbase that left hundreds of people without their jobs.

Before the struggles, last year, Alex Mashinsky-backed Celsius managed to raise $750M, reaching a valuation of $3B. Currently, the price of Celsius’ native token CEL sits at $0.89, with an 18.18% increase in the past 24 hours.

Gyth L. - Crypto Analyst

by Gyth L. - Crypto Analyst, BitDegree