According to an article by PR Week, published on December 10, 2018, blockchain public relations and events company Wachsman has laid off 16 employees due to the current crypto market turbulence.
16 Employees Axed by Wachsmann
Founded in 2015, Wachsman provides strategy, events, PR, and corporate development services to companies in the blockchain and cryptocurrency industry. The company’s clientele consists of Lisk, Horizen, RNDR, Dash, and Steemit, among many others.
Per sources close to the matter, Wachsman has laid off 16 employees from its New York, and Dublin offices. Before the firing, the firm employed as many as 110 employees across its offices in New York, Dublin, and Singapore.
While their New York office saw twelve employees get the short end of the stick, the Dublin office let go four of its employees. Notably, the majority of the firings were done for junior and entry-level roles.
David Wachsmann, CEO and founder of the company, said that no one was laid off from their Singapore office. The firm’s office in Singapore employs 15 people. He stated that the volatility of the blockchain industry had been largely impacted by the rise and fall in the value of bitcoin.
“Bitcoin, which acts as a measure for the industry at large, rose from $200 to over $500 in 2015 when Wachsman was founded, famously grew to almost $20,000 by the end of 2017, and is currently hovering between $3,000 and $6,000 on a daily basis. As a result, many businesses in the space are experiencing knock-on effects.”
The article states the affected employees received severance pay, and complete support about finding new jobs in the industry, mock interview training, reference letters, and support with resumes.
Wachsmann is one of the companies which saw their business explode due to the growing obsession with cryptocurrencies and blockchain technology in 2015. After starting as a one-person shop, Wachsmann quickly became the go-to company whenever a startup or business required blockchain-specific PR expertise.
Crypto Exuberance Slowly Coming Down
Recent months have witnessed a steady decline about general interest in blockchain technology and cryptocurrencies. This, coupled with the fact that the majority of the cryptocurrencies, including bitcoin, ether, and litecoin are down by 80-90 percent from their ATH values has forced many players in the industry to cut down on their costs.
BTCManager reported on December 10, 2018, how companies like ConsenSys, Steemit, and SpankChain have cut down on their staff due to the prolonged bear market.