Crypto Lender Genesis Lays Off 30% More of Its Staff

Genesis Global Trading let off more staff on Thursday, a spokeswoman for the cryptocurrency trading firm revealed to WikiBIT in a statement.

According to a source acquainted with the situation, Genesis laid off around 30% of its workforce, reducing it to 145 personnel. Genesis had laid off 20% of their 260-person workforce in August.

The sales and business development departments have been particularly severely affected, according to the source.

“As we negotiate unprecedented industry headwinds, Genesis has made the painful decision to cut its global staff,” a Genesis representative stated in a statement. “These steps are part of our ongoing efforts to advance our business. We truly appreciate the efforts of our brilliant and dedicated staff as we continue to seek the best long-term solution for Genesis's business, clients, and workers.”

The layoffs came after the company informed its clients on Wednesday that it will be “cutting costs and driving efficiencies” amid a difficult environment for crypto firms.

Genesis, a subsidiary of crypto giant Digital Currency Group, has suffered as a result of the worldwide market collapse caused by the failure of Sam Bankman-FTX Fried's exchange. Genesis disclosed in November that its derivatives division had $175 million in money that could not be withdrawn. Later, the company indicated that its lending arm would suspend its own customer withdrawals.

The company laid off employees in August after filing a $1.2 billion claim against failing crypto hedge fund Three Arrows Capital.

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