Ethereum production studio ConsenSys has confirmed that they will be making 13% of their staff redundant, which comes days after the company announced they were “re-focusing priorities.”
The company had 1,200 staff on their books last week, which means over 150 employees look set to lose their jobs.
The decision comes one week after cryptocurrency publishing service Steemit announced they were laying off 70% of their staff due to a structural reorganisation.
“Layoffs at ConsenSys” will probably be a headline around the bottom
— Pierre Rochard [⚡️] (@pierre_rochard) December 3, 2018
The moves by both companies reflect a worrying time in the cryptocurrency and blockchain industries, with the dwindling value of crypto seemingly having a knock-on effect on companies in the space.
“Excited as we are about ConsenSys 2.0, our first step in this direction has been a difficult one: we are streamlining several parts of the business including ConsenSys Solutions, spokes, and hub services, leading to a 13% reduction of mesh members,” the company revealed on Thursday.
The statement continued: “Projects will continue to be evaluated with rigor, as the cornerstone of ConsenSys 2.0 is technical excellence, coupled with innovative blockchain business models.”
ConsenSys are based in Brooklyn but are also set up across the globe, with more than 50 ventures currently existing under their umbrella. Forbes estimate that the company’s annual burn rate is over $100 million.
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