Robinhood laid off approximately 150 employees, citing reduced client activity and trading.
Popular crypto platform Robinhood has been laid off for the third time. The company cites increased costs as well as the decline in customer activity. The company parted ways with about 7 percent of its staff in this layoff. Robinhood, which laid off about 150 employees, went into downsize.
Robinhood Continues to Take Layoffs
Crypto platform Robinhood laid off around 150 staff. This dismissal, which corresponds to 7 percent of its full-time staff, drew attention.
Robinhood, which has gone out of business for the third time, stated that it chose this route to adapt to the decrease in its customers’ business activities.
Robinhood, which managed to reach 21 million users in 2021, served only 11 million customers last May. Declining interest in the platform and slowing customer activity prompted the company to consider downsizing.
According to the news that The Wall Street Journal based on an internal message, the company’s May volume fell by 68 percent compared to the same month of the previous year.
Chief Financial Officer Jason Warnick gave a statement to The Wall Street Journal. Warnick stated that the layoffs were made to improve volumes and align the team structure well.
Robinhood had previously laid off 1,120 people.
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