Cryptocurrency exchange BitMEX has laid off 75 employees just a few days after it abandoned plans to acquire 268-year-old German bank Bankhaus von der Heydt, The Block reports, citing people familiar with the matter. As of press time, BitMEX employs about 300 people, which means the move will affect about a quarter of the exchange's staff.
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A spokesperson for BitMEX declined to name the cause of the changes, but said that the Seychelles-based trading platform plans to "streamline for the next phase of our business."
"BitMEX is making changes to our workforce in order to streamline for the next phase of our business. Our top priority is to make sure all employees who will be impacted have the support they require," the spokesperson said.
The move comes after BitMEX Co-Founder, Samuel Reed, pled guilty to violating the Bank Secrecy Act by failing to establish an anti-money laundering program at BitMEX. According to the Department of Justice, Reed also agreed to pay a $10 million fine. The other two founders of BitMEX, Arthur Hayes and Benjamin Delo, previously pled guilty to the same offense, the regulator noted.
BitMEX first announced plans about the acquisition in January this year. The exchange was planning to complete the purchase in mid-2022 as it had signed a purchase agreement with the Munich-based financial institution's current owner, Dietrich von Boetticher.
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