Crypto Startup Circle Lays Off 30 Employees

News | May 22, 2019 By:

Crypto finance firm Circle has laid off 30 employees in an attempt to cut costs.

Founded in 2013, Circle is a peer-to-peer payments technology company. It offers four products: Circle Invest, which allows users to easily invest in crypto; Circle Pay, which allows users to send money like a text; Circle Trade, the company’s OTC trading desk; and Poloniex, which allows users to buy and sell on its active crypto exchanges. The firm is also the creator of USD Coin (USDC), an ERC-20 stablecoin pegged to the US dollar.

In a recent Twitter post, Circle co-founder Jeremy Allaire said that the company has laid 10 percent of its staff.

“Today we made organizational changes at Circle and eliminated approximately 30 positions, which is about 10% of our employees,” Allaire said. “We made these changes in response to new market conditions, most importantly, an increasingly restrictive regulatory climate in the United States. 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 US.”

Earlier this year, it was reported that Circle was seeking to raise about $250 million in a combination of equity and debt. The firm is now reducing that fundraising goal by 40% to $150 million, The Block reported, citing sources familiar with the matter.