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Staff cuts in the popular stocks and crypto platform Robinhood continue.
The negative trend of cutting staff at Robinhood continues. In April, the crypto company cut 9% of its staff, and in August, it announced an even greater number of upcoming layoffs.
CEO Vladimir Tenev assumed responsibility for personnel decisions. “The approved personnel trajectory in the current difficult conditions was too ambitious”, he admitted.
Vladimir Tenev called the wide collapse of the cryptocurrency market one of the main reasons for the reduction of operations. He clarified that in 2021, the decision to staff many operations functions was motivated by the assumption of the continuation of the trend of increased retail engagement in the stock and crypto markets. Such engagement has shown itself positively in the conditions of the coronavirus pandemic.
The second reason, which entailed difficult personnel decisions, — a deafening 44% decline in revenues and anemic trading activity.
“Robinhood will cut 23% of its staff soon”, confirmed Vladimir Tenev.
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