Chainalysis lays off more employees in new round of crypto job cuts

Blockchain forensics firm Chainalysis is laying off part of its workforce, the second time it has done so this year. The news comes during a difficult period for the entire sector, which has seen a series of such moves in 2023, against a backdrop of a persistent bear market and increased regulatory pressure.

Cryptanalysis firm Chainalysis separates 15% of its employees

Chainalysis is laying off about 150 people, or just over 15% of its staff, Forbes revealed, citing an email CEO Michael Gronager sent to employees earlier this week. According to the report, the job cuts come amid ongoing challenges in the crypto space that have reduced commercial demand for the company’s products.

Founded in 2014, Chainalysis has established itself as a go-to platform for US and other governments, as well as crypto companies such as exchanges, when they need to track cryptocurrency transfers and identify parties involved in the transaction for research or compliance.

The New York-based company had about 900 workers after a previous round of job cuts earlier this year that affected less than 5% of its staff, according to Chainalysis. The latest layoffs add to a wave of job losses across the sector in 2023.

For example, the world’s largest cryptocurrency exchange reportedly laid off 1,000 employees last summer, including two rounds of job cuts at its US subsidiary, while several executives left Binance US and other entities of the cryptocurrency giant as it is in an extreme pressure situation. . regulatory scrutiny.

Quoted by The Block and Bloomberg, Kennedy also emphasized that Chainalysis “remains well-positioned for long-term success” and remains committed to its “mission of building trust in blockchain among government agencies, financial institutions and cryptocurrency companies.”