Crypto bank Anchorage Digital plans to lay off about a fifth of its workforce, according to a March 14 Bloomberg report.

Anchorage lays off 20% of employees

Bloomberg reported that 75 employees, or 20% of the company’s workforce, will be laid off, based on statements from Anchorage itself.

Anchorage cited regulatory uncertainty as the reason for these layoffs and said it would focus on its role as a “clearly qualified custodian.”

Anchorage has not disclosed any specific regulatory concerns, but it is worth noting that three crypto-adjacent banks either closed or announced layoffs shortly after they were shut down by regulators. Silvergate ceased all operations on his March 8th, Silicon Valley Bank went bankrupt on his March 10th, and Signature Bank was shut down by regulators on his March 13th.

Anchorage Digital operates as a federally licensed bank.Bloomberg focused on the conflict between Anchorage and the Office of the Comptroller of the Currency (OCC). last yearthe company did not say whether the current events will affect banking functions.

Other companies are laying off

Anchorage was the first company to lay off workers in connection with the crypto banking crisis, but several others are laying off employees due to the general “crypto winter.”

Among the largest companies to do this are cryptocurrency exchange Coinbase⁠, which laid off 950 employees in January, and Crypto.com⁠, which laid off about 800 employees in the same month. Kraken will also lay off his 1,100 employees in late 2022.

Other companies that have recently laid off include Huobi, Gemini, Blockchain.com, Genesis, ConsenSys, Bittrex, Chainalysis and Amber Group. Filecoin maker Protocol Labs and now-defunct Silvergate Bank have also cut jobs.

A January report said 23,600 crypto jobs were cut in the previous year, 2022. The first three months of 2023 will add thousands more to the stats.

By Jules

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