Goldman Sachs backed Circle cuts off 10% of its workforce: Cites stringent laws
|- Circle CEO says the restrictive regulatory climate in the US resulted in the layoffs.
- Circle assures the investors that it is financially strong and stable.
Circle is reported to have downsized in terms of the number of staff. The company was praised for raising a cool $110 million in funding in its Series E round in 2018. The funding was backed giant companies in the financial sector including Goldman Sachs. The firm moved ahead to buy Poloniex exchange and later finalized on the acquisition of SeedInvest at the beginning of 2019.
Further reports claimed that the Circle was seeking to raise another $250 million through a combination of both equity and debt. However, the lasted development from the firm is the cutting of costs by laying about 30 staff representing 10% of its total staff number. A comment from Circle’s CEO Jeremy Allaire to CoinDesk:
“We made these changes in response to new market conditions, most importantly, an increasingly restrictive regulatory climate in the United States,” Circle CEO Jeremy Allaire told CoinDesk.
“Circle remains strong and healthy, and we will continue to drive new product innovation and growth globally, working with jurisdictions that offer forward-looking policies regulating digital asset businesses, while we press for more balanced crypto policy in the U.S.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.