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New Layoffs Hit Ethereum Incubator ConsenSys

New Layoffs Hit Ethereum Incubator ConsenSys

New Layoffs Hit Ethereum Incubator ConsenSys

ConsenSys is laying off dozens more staffers, two people familiar with the matter tell CoinDesk.

ConsenSys is laying off dozens more staffers, two people familiar with the matter tell CoinDesk.

ConsenSys is laying off dozens more staffers, two people familiar with the matter tell CoinDesk.

AccessTimeIconApr 20, 2020, 3:50 PM
Updated May 15, 2023, 1:29 PM

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ConsenSys is laying off dozens more staffers, CoinDesk has learned.

The Brooklyn, N.Y.-based firm known for incubating Ethereum projects is cutting "just over 90" people, a spokesperson confirmed. That's about 14 percent of the firm's headcount.

"The global COVID-19 pandemic has deeply impacted the world's health and livelihood," the company spokesperson told CoinDesk. "ConsenSys has carefully analyzed its business in relation to what is occurring globally. Like most of its peers, the company is seeing extraordinary uncertainty in the market, with businesses rebalancing priorities and reevaluating timelines."

The move, word of which leaked out after a company town hall meeting Monday, follows a round of layoffs announced in February. Those cuts also shrunk the firm's headcount by approximately 14 percent, the company said at the time. The numbers indicate that ConsenSys may have begun the year with just under 850 employees, and now retains just over 550.

"All key operational aspects of the business are preserved to ensure the development and service of key products and solutions," the company said in its statement.

The firm also mentioned current work on "crisis-related opportunities such as Central Bank Digital Currencies (CBDCs), emergency loans disbursement solutions, supply chains for personal protective equipment (PPE), and related identity solutions."

ConsenSys says affected employees will be provided two months of severance pay and career transition services.

Led by Ethereum co-founder Joseph Lubin, ConsenSys laid off about 13 percent of its workforce in a late-2018 restructuring dubbed "ConsenSys 2.0." The cuts in February 2020 were related to that strategic overhaul.

Update (April 20, 16:47 UTC): An earlier version of this article overstated the number of layoffs. The tally of jobs eliminated is 90, not 120. The original source, who was privy to the percentage reduction, miscalculated the absolute figure; a second source confirmed the job cuts were occurring before the company provided CoinDesk with a precise number.

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