On March 4th, First Digital Assets, an Israeli blockchain application registered in Gibraltar announced that it will fire a majority of its employees as it restructures. The announcement was made in Globes, an Israeli news source that reports in English.
The blockchain application operates serval spin-off companies in the blockchain arena, most of which will merge into a parent company. The platform’s research division, One Alpha, will close completely. According to the company, the closure, layoffs, and mergers are due to the tough market conditions.
In a statement released to Globes, the platform stated, “The cryptocurrencies market experienced an earthquake last year, which forces us to be brave and consider First Digital Assets’ various activities.” The platform continued,
“We are . . . focusing on our liquidity activity, which continues to be fruitful, while at the same time channeling our development efforts to creating new solutions in blockchain, which we believe is the technology of the future.”
First Digital Assets is not the first platform to downsize. According to Cointelegraph, a number of well-known cryptocurrency platforms have reorganized their platforms and have downsized as well. For example, Bitmain closed its Israeli operations and laid off 23 individuals, while ConsenSys and Huobi also implemented similar actions.