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Online brokerage firm Robinhood Markets will reportedly lay off about 150 full-time employees — 7% of its total workforce — in its third round of layoffs in just over a year.
According to an internal company post seen by the Wall Street Journal, Robinhood CFO Jason Warnick reportedly wrote that the cuts were made to “accommodate volumes and better align with the team structure.”
A spokesperson for Robinhood did not confirm or deny the layoffs in comments to Cointelegraph, but stated:
“We provide operational excellence in how we work together on an ongoing basis. In some cases, this can mean teams making changes based on volume, workload, organizational structure, and more.”
The layoffs reportedly came just five days after Robinhood acquired loan company X1 for $95 million. Last year, Robinhood cut its overall headcount by 9% in April and laid off 23% of its remaining staff in August as declining trading activity and weak stock and crypto prices squeezed profits.
The two layoffs resulted in the loss of more than 1,000 employees.
Related: Robinhood to End Support for 3 Tokens Named in SEC Lawsuits
At its peak in the second quarter of 2021, Robinhood had 21.3 million active users and over $565 million in revenue. Things have taken a turn for the worse for the brokerage firm recently, with Robinhood’s Q1 2023 results showing a 44% decline in monthly active users and a 30% decline in revenue compared to last year.
Robinhood’s stock is currently changing hands at $9.63, up 18% for the year, despite being down more than 82% from its all-time high in August 2021.
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