Jul 08, 2022 04:00AM ET
By: AnalysisWatch
Due to "extreme market conditions," Compass Mining, a bitcoin mining company, has joined the league of crypto companies laying off employees.
Thomas Heller and Paul Gosker, the co-founders and interim CEOs of Compass Mining, announced the development in a press release on June 7, 2022.
Specifically, Heller and Gosker said the company would lay off 15% of its workforce and implement "significant compensation and expense reductions" across the company. According to the report, the significant pay cuts for senior executives and the leadership team amount to 50% of their current income.
The CEOs said they found no alternative to avoid the move. However, unlike many of its competitors, this will enable Compass to remain relevant in the changing marketplace.
In addition, Compass Mining executives admitted that the company was growing too fast. This caused them to take many hasty steps that sabotaged their recovery.
Compass Mining was founded in January 2021 with the idea of simply mining bitcoin. The company has sold more than half a billion dollars' worth of mining equipment, with more than 30,000 machines working on behalf of thousands of customers.
Nevertheless, Compass Mining apologized to its departing employees and thanked them for their commendable service. As they transition into the next phase of their careers, they will receive the support they need.