Crypto Firm Circle Defies Downsizing, Boosts Workforce By 25%
- Circle bucked the market’s wave of layoffs by increasing its workforce by 25%.
- The number of newly hired employees can be up to more than 200 people.
- Regulatory agencies are pushing for the formation of a legal framework for cryptocurrencies, especially satblecoin, which is under intense scrutiny from the SEC.
While the crypto industry is laying off workers, USDC issuer Circle expects to increase headcount from 15% to 25% by 2023, with around 900 employees as of the end of last year, as reported by the WSJ.
The fact that Circle wants to increase its workforce by 25% this year has been said by chief financial officer Jeremy Fox-Geen.
The Boston-based crypto firm that was an issuer of the previous USD Coin stablecoin (USDC) had about 900 employees at the end of last year and by 2023. They are expected to grow from 15% to 25%. 25%, or an additional 135 to 225 workers. That is a lower growth rate than in 2022 when the number of people per capita will almost double from 2021.
The Circle is still hiring even as many crypto companies are laying off employees. Some have filed for bankruptcy during a difficult time in the crypto market after experiencing two Terra-LUNA shocks in May and continued downhill with the rapid demise of Sam Bankman-Fried’s FTX crypto empire.
“We are growing and investing, and we are fortunate to be financially able to sustain our investments (…). We have experienced down growth prudently and are focused on what matters most.”Mr. Fox-Geen joined Circle in 2021 from the real estate investment trust Safehold Inc. said.
Cryptocurrency trading companies are also under heavy regulatory pressure as law enforcement agencies such as SEC and CFTC are taking drastic actions to create a specific regulatory framework for cryptocurrencies, especially stablecoins.
Circle reported revenue and interest income for the most recent period of $274 million and a net income of $43 million for the quarter that ended September 30. For the year’s first quarter, it posted revenue and interest income was $19.6 million and a net loss of $138.7 million.
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