SuperRare, an NFT marketplace that permits the sales of digital collectibles has announced a reduction in its staff size by about 30% due to the ongoing crypto winter in the industry.
The CEO of SuperRare Labs, John Crain announced on Twitter, that his company’s limited resources are not enough to sustain the aggressive growth of staffing in the firm. He however admitted that he made an error in recruiting workers that his firm cannot sustain.
Crain highlighted that his firm is trying to correct its mistakes by downsizing its staffing, so the company can serve its community of artists, collectors, and curators better so SuperRare Labs can continue to be a global brand.
The CEO also hinted that his company is striving towards ensuring that SuperRare’s talents are adequately provided with needed support and new opportunities in the future.
SuperRare has attracted a large and growing community of artists and collectors, with over 13,000 artists and 15,000 collectors registered on the platform.
The platform has also received praise for its role in promoting and supporting the emerging field of digital art, as well as for its user-friendly interface and innovative approach to art sales.
Staff Reduction in the Bear Market
It is not surprising that digital firms are reducing their staff size because the current crypto bear market may have led to decreased demand for their services and a decrease in revenue, which could make it necessary for the companies to reduce their staffing levels in order to stay afloat.
In December 2022, Plaid, a California-based fintech company, announced plans to lay off 260 employees, which is 20% of its total workforce. The CEO of Plaid, Zach Perret stated that his company hired more staff when the firm was experiencing massive signup during the COVID-19 pandemic.
He added his firm needed to cut down staff size because macroeconomic conditions in 2022 were significantly different from the previous years.
The defunct Genesis Global also announced that it was reducing its staffing by 30%. However, the firm’s financial crisis was reported to have prompted this move.