According to Cointelegraph, blockchain analytics firm Chainalysis has reduced its headcount by 15% this week, amounting to approximately 135 staff. The decision was made due to the need to reduce expenses amid continued bear market conditions. Chainalysis Vice President of Communications, Madeleine Kennedy, stated that the company remains committed to its mission to build trust in blockchains among government agencies, financial institutions, and cryptocurrency businesses.
Before the most recent cuts, Chainalysis had around 900 employees. This is the second round of cuts for the company this year, as the ongoing crypto bear market has reduced the demand for commercial products. In February, Chainalysis cut around 40-50 jobs as part of a reorganization in light of worsening market conditions. Digital asset market capitalization has fallen by 64% from its peak level almost two years ago, and markets have remained mostly flat with volatility, liquidity, and trading volumes dwindling. A Forbes report citing an email from CEO Michael Gronager to staff suggests the cuts will come mainly from marketing and business development teams focused on the private sector.