Circle – the company behind the leading stablecoin USDC – has reportedly trimmed its staff in a bid to reinforce its balance sheet.
Thus, it joined the likes of numerous crypto-related firms that laid off team members during the prolonged bear market to cope with the decreasing investor interest. Some examples are the exchanges Coinbase, Huobi, Gemini, Bybit, Crypto.com, and many more.
- As reported by Reuters, the stablecoin issuer has reduced its team and ceased investments in non-core activities.
“Circle is redoubling its focus on core business activities and execution,” the organization said in an email to the media outlet.
- On the other hand, it assured that it will continue hiring new employees in “key areas of focus.”
- The rumors have not affected the price of USDC, as it trades at its fixed level of $1. Its market capitalization has also been relatively unaffected, standing at approximately $27 billion.
- However, this was not the case in mid-March when Circle revealed a massive $3.3 billion exposure to the collapsed Silicon Valley Bank (SVB).
- While USDC slipped to $0.87 (per CoinGecko data) shortly after the disclosure, it quickly restored its correlation to the greenback after the company issued a reassuring statement, vowing to cover any investor losses due to the banking crisis.