The Crypto Kraken exchanges giant has dismissed hundreds of staff members in all areas of the company in recent months, while the company continues to rationalize its operations before a potential public list in the United States, according to two people familiar with the situation.
Kraken would have dismissed 400 employees, or around 15% of his workforce, at the end of October of last year, when the investor of Silicon Valley and member of the board of directors of Kraken Arjun Sethi became Co-PDG alongside David Ripley, who took the reins when the former CEO Jesse Powell resigned in 2023.
Since Sethi became CO-PDG, “hundreds of others have disappeared,” said a person familiar with the situation, who underlined a license program riding beyond the 15% reduction at the end of last year.
“They aggressively eliminate all functions, and it is a constant and continuous thing. It’s about improving Kraken Ebita [earnings before interest, tax and amortization]Said the person.
When the role of the CEO was divided last year, Sethi and Ripley declared in a blog article that it was necessary to lose “organizational layers” which had accumulated in Kraken and to make the company “lean and faster”.
Several Crypto companies are currently obtaining their homes to launch a first public offer (IPO) this year or at the start of next year. Kraken also put pressure for an increase in income by acquiring companies such as the Ninja Trader derivative platform, for example, and recently announcing the addition of trading of shares.
“Kraken’s activities are booming. We are launching more new products than ever before, resulting in strong income growth and we are developing quickly in all of our product portfolio – including through the agreement to acquire Ninjatrader, announced earlier this year,” said a Kraken representative in Coindesk.
“At the same time, we are continuously assessing our workforce to ensure that it aligns our strategic priorities. We are approaching this with discipline and intention, making the decision difficult to eliminate certain roles and to consolidate the teams where redundancies exist, while continuing to hire in key areas of the company,” said Kraken spokesperson.
