tl;dr
Matter Labs, the company behind Ethereum scaling network ZKsync, has announced a workforce reduction of over 16%. This decision, described as the hardest change in the company's six-year history by CEO Alex Gluchowski, was attributed to significant changes in the market environment and business need...
Matter Labs, the company behind Ethereum scaling network ZKsync, has announced a workforce reduction of over 16%. This decision, described as the hardest change in the company's six-year history by CEO Alex Gluchowski, was attributed to significant changes in the market environment and business needs. The layoffs affected 24 employees, with the company's headcount now at 126. The layoffs were framed as a necessary step to adapt to changing demands from teams building on ZKsync and to re-evaluate its overarching strategies, goals, and team composition. Affected employees will receive exit packages, and the company is still hiring for critical roles.
Matter Labs, the company behind Ethereum scaling network ZKsync, announced on Tuesday that it laid off over 16% of its staff, in the latest contraction to shake up the crypto industry. Alex Gluchowski, the company’s co-founder and CEO, announced the move publicly, calling it “the hardest change” he’s had to implement in Matter's six-year history. “Our market environment and business needs have changed significantly over the course of this year,” Gluchowski tweeted, explaining the decision. “We went through a large org planning exercise, and it became clear that the talent and roles we have today do not perfectly match our needs.” Affected employees were already notified of their termination, which in no cases had to do with job performance, per the CEO.
A Matter Labs spokesperson confirmed to Decrypt that the layoffs impacted 24 employees, putting the company’s total headcount at 126. Blockworks first reported the news. The spokesperson declined to elaborate on which departments were impacted by the layoffs. Matter Labs is still hiring for engineering, business development, and operational roles that Gluchowski described as “critical.” Former employees will also receive exit packages including three months of pay, four months of health care, full vesting of company shares through the effective termination date, and career support, according to Gluchowski.
Matter Labs framed the layoffs as a necessary step given changing demands from teams building on ZKsync, one of the myriad Ethereum scaling networks that have launched in recent years, aiming to entice users with cheap gas fees and speedy transaction times. In that crowded field of layer-2s and sidechain scaling networks, which includes heavy hitters like Coinbase’s Base , Polygon , Arbitrum , and Optimism , among many others, it appears Matter Labs is rethinking how to best position itself.
In June, the company announced the Elastic Chain, a means to allow the growing number of teams building custom chains on top of ZKsync to move smoothly (interoperably) across them all. On Tuesday, Gluchowski emphasized that the launch of the Elastic Chain pushed Matter Labs to re-evaluate its overarching strategies, goals, and team composition. This indicates that the company may be moving away from marketing itself as a general purpose Ethereum scaler—and towards supporting more niche and case-specific uses—as a means to stay competitive.
More about
The Current State of the Stock Market: A Technical Analysis Perspective
After conducting a comprehensive technical analysis of the stock market, several key trends have emerged. The S&P 500 index is currently testing a critical support level at 3200, with a potential downside risk if this level is breached.
The Relative Strength Index (RSI) indicator suggests that the market is nearing oversold conditions, indicating a possible upcoming reversal. Additionally, the moving average convergence divergence (MACD) indicator is showing signs of a bearish crossover, reinforcing the potential for downward movement.
On the other hand, the NASDAQ index has exhibited strong bullish momentum, with the price trading above its 50-day moving average. However, caution is advised as the index approaches a major resistance level at 11000.
Overall, while certain sectors show resilience, it is crucial to monitor the support and resistance levels diligently, as a breach of these levels could signify a shift in market sentiment. Investors are advised to exercise prudence and consider implementing risk management strategies in the current uncertain market environment.
More about Rush Street Interactive Inc
Rush Street Interactive Inc
Rush Street Interactive, Inc. is an online casino and sports betting company in the United States and Latin America. The company is headquartered in Chicago, Illinois.
Sector: Trade & Services
Industry: Services-Miscellaneous Amusement & Recreation
Market Cap: 2113047000
Dividend Yield: None
Beta (5Y Monthly): -0.09
PE Ratio (TTM): 10.78
EPS (TTM): -0.0084
Shares Outstanding: 801545000
Profit Margin: 13.03%
Operating Margin: 0%
Revenue: 0.888
More about Emeren Group Ltd
Company: Emeren Group Ltd, ReneSola Ltd
Business Description: Develops, builds, operates, and sells solar energy projects. The company is headquartered in Stamford, Connecticut.
Industry: Manufacturing, Semiconductors & Related Devices
Market Cap: 92772000
Dividend Yield: None
Revenue: -0.31
EPS: 1.915
PE Ratio: -0.163
Volume: 103577000
52-Week High: 4.38
52-Week Low: -0.924
RSI (14): -0.112