Nansen Reduces Size of Staff by 30% – On-chain analytics firm Nansen has joined the list of crypto companies that have announced layoffs over the past year. As the modest crypto winter continues, more people working for crypto companies continue to lose their jobs.
In a recent development, the company’s CEO, Alex Svanevik, took to Twitter on May 30 to announce the hard decision of letting go about 30% of its workforce. In his words, the company had to make an “extremely difficult decision” to reduce the team’s size.
This week we announced the extremely difficult decision to reduce the size of the Nansen team.
I’m endlessly grateful to the incredible people we are parting ways with. They will go on to achieve great things, and we'll ensure they get a soft landing, with severance and support.
— Alex Svanevik 🐧 (@ASvanevik) May 30, 2023
Reasons for the layoff
According to the CEO, the company will be laying off some of its workers because of two main reasons. The first reason was the fact that the company tried to scale rapidly during its first years of operations. This led the company to diversify into areas that are originally not part of Nansen’s core strategy.
Read Also:
- “Another day, another FUD,” Changpeng Zhao Trashes Binance Layoff Rumors
- TRON Daily Transactions Hits Record High Despite Crypto Winter
- Nansen Reduces Size of Staff by 30%
- Ex-Coinbase Manager Reaches Agreement With SEC Over Insider Trading Charges
Secondly, Svanevik pointed out the “brutal” crypto market over the last year. Regardless of the fact that the company has seen a diversification in its revenue through enterprise and institutional customers, its cost base remains too high compared to where the company stands today. Furthermore, he added that Nansen’s priority is to build a feasible business even though it has had several years of runway.
“We do have several years of runway, but our priority is to build a sustainable business,” he said.
Full statement: pic.twitter.com/cxSTtZBiZU
— Alex Svanevik 🐧 (@ASvanevik) May 30, 2023
Also, he added that maintaining a smaller team will allow Nansen to focus on giving its customers the best products. Finally, the CEO made it known that the employees who will be cut off will get “severance and support.”
About Nansen
The blockchain analytics startup was founded in 2019 and was named after Fridtjof Nansen who was a scientist and a humanitarian. The company has grown rapidly since its debut 4 years ago.
In December 2021, the company announced that it has raised $75 million in Series B funding. The funding round was led by venture finance company Accel. Finally, the Singapore-based company launched “Nansen Query” in March, a Google cloud-based product that provides complete data solutions to crypto-related projects.
