Ethereum-based blockchain development company ConsenSys is cutting 14 percent of its workforce as apart of a major restructuring to its business model.
According to a report by The Block, ConsenSys has announced a major restructuring that will divide its software development and investment efforts into two different divisions. ConsenSys said it would be cutting 14 percent of its staff as apart of the restructure.
The Ethereum-based company explained its decision in a statement released Tuesday,
Over the past year, ConsenSys undertook a deep strategic review and articulated two separate strategies to grow and support the ecosystem as a software company and a separate investment company.
An unnamed source told The Block the company’s division resulted from difficulties related to raising money, and that the new software arm is hoping to raise $200 million in capital.
The Consensys statement outlined the role of its software division,
The business is focused on two goals: providing developer tools and infrastructure for the developer, decentralized finance, and startup communities; and helping enterprises in the financial services, trade finance, and commerce sectors deploy and operationalize blockchain solutions.
The investment wing of ConsenSys will continue to focus on venture capital and investing in “best-in-class teams” and early-stage equity.
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