Dapper Labs, the company behind the NFT CryptoKitties collection and Flow blockchain, is forced to lay off 22% of its staff, or at least more than 130 people. According to its founder Roham Gharegozlou, this decision is attributable to latent macroeconomic instability.
The massive layoffs of Dapper Labs
Dappers Labsthe company behind the CryptoKitties Non Fungible Token Collection (NFT) and the Flow blockchain, is forced to do so lay off 22% of its staff due to the current macroeconomic fog.
The press release, drawn up by Roham Gharegozlou, CEO and founder of Dapper Labs, indicates that those affected by this wave of layoffs have already been informed. To choose which of its members would be interested, the company chose to focus on what its strength was and what ” served the global priority of widespread adoption of Web3 “.
In this regard, we can read in Roham Gharegozlou’s letter:
“We then transferred the product strategy and cost structure to individual teams and team members, making difficult decisions based on the skills and capabilities we will need for our future business. […] At Dapper Labs, we focusns on what will move the cursor and take the whole sector to its next inflection point – and let’s go back to anything that doesn’t fit that orientation. “
Furthermore, according to the founder of Dapper Labs, the company has overestimated its growth, rising from 100 to more than 600 employees in 2 years. For this, he ensures take responsibility “consequences.
👉 Check out our presentation of the Flow blockchain
The platform that makes trading easier
Buy cryptocurrencies in minutes
A macroeconomics that embraces NFTs
Dapper Labs, which operates in the NFT industry, specifically with its flagship collection CryptoKitties, NBA Top Shot NFTs and UFC Strike, therefore undergoes a further difficulty as the NFT sector is at its lowest level. Indeed, the company has significant financial holdings in this environment.
Weekly volume of NFTs traded by category
Its NBA Top Shot collection, for example, which saw a dramatic surge in popularity in early 2021, saw its popularity gradually decline. to the point of reaching the lowest sales volume of the last month. This volume is now close to a few thousand dollars a day, where the collection was able to register at peak sales of over $ 45 million in February 2021.
Although employees affected by these layoffs are forced to find work elsewhere, Dapper Labs ensures they do they will benefit from the support until they are successful. This will include three months’ allowance, support for finding a job, and, among other things, setting up a website to connect injured employees with professionals.
Dapper Labs, however, did not disclose the exact number of employees affected by this layoff.
👉 In the news – United States: what to remember from the quarterly results of large companies?
Join experts and a premium community
Invest in your cryptocurrency knowledge for the next bull run
S.Source: Dapper Labs press release, The Block
Receive a cryptocurrency news summary every Monday via email 👌
What you need to know about affiliate links. This page presents assets, products or services related to investments. Some links in this article are affiliates. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and cannot be held responsible, directly or indirectly, for any damage or loss caused as a result of the use of a good or service highlighted in this article. Investments related to cryptocurrencies are risky in nature, readers should do their own research before taking any action and invest only within the limits of their financial capabilities. This article does not constitute investment advice.