Anchorage Digital reduced its workforce by 17% this week, CEO Nathan McCauley told employees. With a staff of around 400 as of February, this equates to approximately 68 positions, assuming headcount remained at that level.

Federal Charter and $4.2 Billion Valuation

Anchorage Digital is a federally chartered digital asset bank in the United States. Earlier this year, the company was valued at $4.2 billion. In 2021, Anchorage became the first crypto company to receive a national trust charter from the Office of the Comptroller of the Currency (OCC), and has since grown into a major custodian.

Expansion into Stablecoins and $100 Million Tether Investment

The company is expanding its institutional business, including the issuance of stablecoins. Anchorage is involved in the launch of Tether's new stablecoin, USAT. Earlier this year, Anchorage received a $100 million strategic investment from Tether.

Layoffs Amid Market Downturn

The layoffs come amid a prolonged downturn in the crypto market over the past year.