Foundry, a significant player in the Bitcoin mining industry, has made the decision to slash its workforce as part of a strategic restructuring. The layoffs mainly affect the ASIC repair and hardware teams. However, core operations such as the mining pool, firmware team, and self-mining division remain to some extent intact.
The company, based in New York and a subsidiary of Digital Currency Group (DCG), confirmed the move to Blockspace. The reason cited was the need to focus on maintaining its primary business lines during broader restructuring efforts. Before the layoffs, Foundry had over 250 employees. A correction was later made, stating that staff reductions impacted only 27% of staff, contrary to the initially reported 60%. Additionally, an undisclosed percentage of staff are being transferred to sister-company Yuma Group, which focuses on decentralized AI technology.
Foundry’s management informed employees about the layoffs through individual notifications and then held a company-wide meeting.
In the context of Bitcoin mining, it involves using specialized hardware to validate transactions on the Bitcoin network in return for rewards. Foundry operates a mining pool that aggregates computational power, enabling participants to share earnings. It currently holds a 30% share of Bitcoin’s global mining capacity, establishing its dominance in the sector.
DCG, Foundry’s parent company, has been facing financial hardships since its lending subsidiary Genesis filed for bankruptcy in 2023. The layoffs at Foundry are regarded as part of DCG’s broader initiative to stabilize its operations and concentrate on profitable undertakings. The market will be closely observing how these changes at Foundry will impact the Bitcoin mining landscape and DCG’s overall recovery strategy.
Related topics:
Bitcoin Price Eyes $90K to $100K as $9.4B in BTC Options Set to Expire
Crypto Prices Today, Nov 25: BTC and Major Altcoins Pullback, SAND Soars 70%
Bitcoin Magazine Set to Debut in Japan Through Metaplanet and BTC Media Partnership
