Dapper Labs and Circle have made new cuts

Earlier, Circle assured that they would not lay off employees, but, on the contrary, would expand the staff by 25%; for Dapper Labs, this is the third round of cuts

Two cryptocurrency companies Dapper Labs and the issuer of the USDC stablecoin, Circle, fired employees at once. The dismissal at Dapper Labs on Twitter was announced by the head of the company, Roham Garegozlou. According to him, this time the company fired more than five dozen employees. The Canadian company even transferred some employees to part-time employment.

What exactly caused the cuts is unclear. Garegozlou himself assures that Dapper Labs is financially stable for doing business. However, he stated the same thing in February 2023, when 20% of the company's employees were laid off. Then he also assured that the company would take into account the mistakes made in the past

For an NFT developer, this is the third round of layoffs. Back in November 2022, Dapper Labs had over 130 employees out of work (about 22% of the total at that time). At the time, Garegozlou argued that the layoffs were necessary "for long-term healthy business development."

Moreover, the head of Dapper Labs promised that the firm would focus on the goal of "maximizing profits." It is unclear whether the company has since been able to somehow come close to fulfilling the announced plans. The crypto community already believes that the company is facing bankruptcy, but financial problems are unlikely to affect the multimillion-dollar fortune of the head of Dapper Labs. 

However, the Canadian NFT developer is not the only one who has decided to continue the practice of laying off employees after a cascade of layoffs in the crypto market. Circle has also made "minor cuts" to maintain a "healthy corporate balance sheet." This was stated in a media commentary by a company representative. The exact number of abbreviations was not disclosed. Officially, on social networks, the company decided not to make any public announcement on the cuts at all.

Earlier, Circle assured that, despite the difficulties in the labor market, the company will go against the trend and increase its staff by 25%. A spokesperson for Circle claims that the company still intends to expand its staff, but will only consider new candidates for important tasks. Under the reductions were employees who were not engaged in critical matters for the company, noted in Circle. Who exactly fell under the layoffs is unclear.