Amber Group, an Asian crypto finance service provider, is canceling performance-based bonuses for staff, citing slow business growth amid the crypto winter, Bloomberg has learned, citing an internal memo.
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Amber Group CEO, Michael Wu, confirmed the cancellation of bonuses, saying that the firm will move forward with reducing business costs.
"Even before the collapse of FTX, we were preparing for potentially a prolonged crypto winter," he said.
In addition to management salary reductions, Amber Group is also planning to cut around 400 employees. The Hong Kong-based firm has also frozen a $100 million funding round and is winding down its sponsorship contract with Chelsea FC.
In February, Amber raised $200 million in a Series B+ funding round led by Singaporean investment holding company Temasek. With the latest funding, the broker's valuation reached $3 billion. Participants in the round also included Sequoia China, Pantera Capital, Tiger Global Management, True Arrow Partners and Coinbase Ventures.
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