The Bitcoin (BTC-USD) trading and banking company, NYDIG, fired about 110 employees last month, shrinking the workforce by 33%, according to a late-Thursday post by the Wall Street Journal. The move was made in an attempt to streamline the business focus into more profitable areas, and also cut expenses amid inflationary pressures.
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The downsizing decision was announced to employees on September 22, less than two weeks before NYDIG announced major top-suite overhauls. Earlier this month, NYDIG announced that its CEO, Robert Gutmann, was replaced by the former head of institutional finance, Tejas Shah. On the same day, it was also revealed that President Yan Zhao had stepped down from his post and been replaced by former global head of payments Nate Conrad.
What does NYDIG Do?
As a crypto trading firm, NYDIG aims to merge high-tech with institutional-grade finance to bring a new suite of financial products.
Notably, NYDIG shot to prominence late in 2021 when it raised $1 billion to build an institutional-grade Bitcoin platform that would connect banks and credit unions. This would extend access to bitcoin to retail banking customers.
However, the crypto market started its free fall right after the fundraising, with the value of bitcoin crashing by about 70% from its November highs. This foiled its core business strategy.
