Chainalysis, a company that investigates cryptocurrency-related activities, has recently made a tough call to reduce its workforce by 15%. This decision affects around 135 employees.
A spokesperson for Chainalysis explained, “We’ve had to let go of 15% of our team members this week. We’re working hard to be more efficient and, considering the current state of the market, we felt it was necessary to cut down on our expenses. Nonetheless, we’re still dedicated to our mission, which is to establish trust in blockchain technology among government agencies, financial institutions, and cryptocurrency companies.”
It’s worth noting that this isn’t the first time Chainalysis has downsized its workforce this year. In February, they had already reduced their staff by 5%.
The company has signaled its intention to shift away from serving the regular business market and move more towards working with government contracts, which are seen as more stable.
Currently, about 70% of the company’s income comes from government sources, as reported by Forbes.
Chainalysis is well-known for its collaborations with respected government agencies like the FBI and the U.S. Securities and Exchange Commission (SEC).
Established in 2014, Chainalysis quickly became an expert in tracking cryptocurrency transactions and identifying the individuals involved. Their primary goal is to fight against money laundering and various online crimes.
Even though they secured $170 million in a Series F funding round in May 2022, Chainalysis is still adapting to the ongoing downturn in the cryptocurrency market, just like many other companies in the crypto space.
Prominent companies like Huobi, Coinbase, Crypto.com, and Bittrex have also reported reducing their workforce this year.
