• Genesis Global Trading Inc. has let off 30% of its workforce due to the ongoing financial difficulties they are facing
• This follows the company’s previous round of layoffs in August of 2022, after they had provided funding to the now-bankrupt crypto hedge fund Three Arrows Capital Ltd.
• Interim CEO Derar Islim informed clients that, although they are dedicated to moving as soon as possible, it is a very complex process that will take some more time
Today, Genesis Global Trading Inc. announced that 30% of its workforce has been let off due to the ongoing financial difficulties they are facing. This follows the company’s previous round of layoffs in August of 2022, after they had provided funding to the now-bankrupt crypto hedge fund Three Arrows Capital Ltd. At the time, the company had cut its staff globally in order to align its organization to its strategic ambitions while reducing personnel by 20%. Interim CEO Derar Islim informed clients that, although they are dedicated to moving as soon as possible, it is a very complex process that will take some more time.
This is the second round of layoffs the company has faced in the past several months. According to the Wall Street Journal, the news signals more problems for the crypto lending startup. A spokesperson for the company said that they genuinely appreciate their staff’s brilliant and committed team effort as they search for a long-term solution that will benefit the company’s operations, clients, and staff.
The news of the layoffs comes amidst a turbulent time for the crypto industry. In November, the crypto lender had to stop accepting withdrawals and new loan applications due to the impact of FTX’s collapse. This week, Islim told clients that the company is trying to solve the problem but it will take additional time.
The company is hoping that the layoffs will help them get back on track and improve their financial situation. They are optimistic that by cutting staff, they can make the necessary changes to become a more efficient and effective organization. It remains to be seen if the layoffs will be enough to help the company get back on track, but they are hopeful that their efforts will result in positive change.