Octopus Network to cut 40% of its staff, cites crypto winter

Key Takeaways

  • The Network stated that lay-offs are part of its “refactoring” efforts to adapt to current market conditions. 
  • As per the official statement, the remaining team members at Octopus will accept a 20% salary cut.

Lay-offs in the crypto sector are becoming increasingly common in recent months owing to unfavorable market conditions. The latest crypto firm to lay off staff to cut costs is Octopus Network-a decentralized multichain crypto network built on NEAR protocol. In its official statement, Octopus network stated that it would be sacking 40% of its staff as part of its “refactoring” efforts to adapt to current market conditions. 

Louis Liu, the founder of Octopus Network added in his statement that the remaining team members would also accept a 20% salary cut, and the team token incentive would be suspended indefinitely.

I highly appreciate the competence and dedication of all core team members. Even though we have to say goodbye to some of them, I think they deserve a leave with respect and proper compensation. So, we’re moving forward with the Voluntary Separation Program“, Liu noted.

Regarding Octopus Network’s cost-cutting measures to navigate its way through crypto winter, Liu stated that the Network would soon undergo a strategy change, including condensing operations while focusing on building with NEAR and IBC as major cornerstones of the new strategy.

Expressing concern over present market conditions, the Octopus Network founder said that he expects the current “crypto winter will last at least another year, perhaps much longer,” while adding that “most Web3 startups will not survive.”

Lay-offs are taking the crypto world by storm. Earlier this month, Australian crypto exchange Swyftx announced a 40% workforce lay-off, citing a worsening downturn in digital asset markets following the collapse of Sam Bankman Fried’s crypto empire FTX.

Kraken is another leading crypto exchange that has reduced its workforce by 30% to cut costs. Last month, Crypto finance firm Galaxy Digital also announced lay-offs reducing one-fifth of its positions, roughly 170 employees.

Coinbase-another leading crypto exchange shed nearly 60 jobs in November after laying off 1,100 employees in June this year after being severely impacted by low retail trading activity. If market conditions don’t turn favorably soon and crypto prices don’t spike, experts believe the lay-offs will continue to keep plaguing the Web3 space.

Saniya Raahath
Saniya Raahath

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