Ignete, the developer company of Cosmos, one of the largest cryptocurrencies by market cap, laid off more than 50% of its staff.
The layoffs were carried out by the former CEO, who controversially returned to the head of the company during the collapse of the crypto markets.
Cosmos (ATOM) blockchain developer company Igneteformer employees of CoindeskHe had an interview with. According to the information conveyed by former employees, the company personnel More than half of them are said to have been laid off..
News, CEO of Ignite Peng ZhongIt came after the company announced on Friday that it would leave the company.
According to sources, after the CEO’s resignation, the company in other senior managers announced their decision to leave.
Ignete company, in cryptocurrencies During the 9-month decline period began laying off some of its employees directly. A group of personnel chose to quit their job voluntarily in return for severance pay packages. But this layoff is not a crisis unique to the Ignete company.
During the bear market Coinbase and Crypto.com The big players of the market, including many layoffs, announced that they were downsizing. But according to ex-employees, Ignite’s workforce cuts are not just due to recent market conditions. internal negative factors also originated.
According to the interview, the layoffs at the company started after former CEO Jae Kwon’s controversial sudden return to the company. When Kwon announced his return to the company in May, he said some employees would be offered severance packages, sources said.
“New TendermintReturning to the company under a new formation called ”, the well-meaning promises made by Kwon did not work for a long time, and remained unclear and silent for months. Then, after the big market crash in June, the company announced that it would contract “more than expected”.
company before layoffs had 140 employees and according to the information obtained in this process Almost 100 employees were fired. It was reported that he left the job in return for severance pay.
According to CoinMarketCap data, Cosmos (ATOM) is the most valuable cryptocurrency market. 26. cryptocurrency and ATOM, at the time of writing from $8 is being traded.