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Ethereum Studio ConsenSys to Trim Workforce amid Bear Market Woes

Last Updated March 4, 2021 3:14 PM
Jimmy Aki
Last Updated March 4, 2021 3:14 PM

Just as Steemit had done in the previous month, ConsenSys, the Ethereum-based studio, will be laying off  about 13% of its total workforce as part of a move to ‘restructure’ the company.

The company, which was founded by billionaire Joseph Lubin, co-founder and early investor in Ethereum, is now looking to reorganize in a market that is currently witnessing all-time lows on major cryptocurrencies. Lubin sent a letter out to the employees at ConsenSys where he outlined his vision for the company, and a new path, which he coined “ConsenSys 2.0.”

The letter reads:

“ Excited as we are about ConsenSys 2.0, our first step in this direction has been a difficult one: we are streamlining several parts of the business including ConsenSys Solutions, spokes, and hub services, leading to a 13% reduction of mesh members. Projects will continue to be evaluated with rigor, as the cornerstone of ConsenSys 2.0 is technical excellence, coupled with innovative blockchain business models.”

Before the company decided to undergo this restructuring, it was involved in well over 50 projects, and its staff strength was about 1,200. The firm explained that this decision, as well as the roadmap for its next course of action, will put it in a strategic position for growth “as the blockchain community matures.”

There are also quarters where this restructuring is seen as nothing more than a means for the Ethereum production to stay afloat, as it is one of the hundreds of companies that have been, in one way or the other, affected by the effects of the current bear market. ConsenSys disclosed that it is changing its business scope to focus on more sustainable projects while putting a hold on some of its more unproductive ones.

However, in spite of this reduction in its workforce, ConsenSys is still making big moves to grow its influence in the cryptocurrency market, pending when the bearish run ends. The firm joined venture capitalist firm Two Sigma to lead an $8 million investment round into Trustology, a London-based digital asset custody solution for institutional investors.

Trustology s majorly known for developing the TrustVault, a crypto-based management platform that stores private keys by keeping them in “tamperproof, programmable hardware security modules hosted in secure data centers, with encrypted backups in the cloud.”

With this funding, it is expected that Trustology will be able to develop new products, support a wide range of digital asset classes, and expand its products and services into international markets as well.

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