Coindesk announced the elimination of nearly 20% of the positions at Chainalysis on November 21, 2019. As a result, 39 employees at various levels were dismissed, bringing the company’s total account to 155. The research and development teams were the most affected by workforce reductions.
Commenting on the subject, Communications Director Maddie Kennedy explained that this downsizing was necessary to put the company back on the “path to profitability”. However, this news is surprising given their recent recruitment to the business development team, as well as the integration of a chief technical advisor last June.
Bear market forces
Chainalysis is not the only company to have had to separate some of its employees. The inherently depressed market experienced since the collapse of the speculative bubble in late 2017 had to push many companies in the sphere to tighten their belts.
Last December 2018, Consensys discussed the possibility of laying off up to 50% of its staff. Even mining giant Bitmain used economic layoffs. In addition to this fence in Texas, the Amsterdam offices of Bitmain were also abandoned. Only about ten employees are working there, focusing mainly on the development of their mining pool, as well as that of their wallet.
Earlier in December 2018, Consensys confided that it would have to separate 13% of its staff, but it seemed that the situation was actually much more serious.
Chainalysis future woes
Thus, in view of these numerous redundancies which are akin to economic redundancies, one could be worried about the future of Chainalysis. However, it would yield to fear a little too quickly. Indeed, while Chainalysis may have overestimated itself by investing in far too many projects, the company has been able to remain profitable for long enough to ensure its survival, even going into hibernation until winter leaves the crypto market.
However, the widespread surveillance that sets up the little…