Nansen, a
blockchain analytics platform, has announced a significant restructuring plan,
which includes reducing its staff by 30%. The company’s Chief Executive Officer
(CEO), Alex Svanevik, revealed the news in a memo shared via social media,
expressing regret at the necessity of these changes.
The
rationale behind Nansen’s decision, as explained by the CEO, is twofold. First,
the company aggressively scaled its team during its early years to capitalize
on rapid growth and market opportunities. This expansion resulted in the
company branching out into areas that strayed from its core strategy. The CEO
took full responsibility for this, assuring stakeholders that the restructured
organization would refocus on its key competencies, aiming to do fewer things
but with increased efficiency and excellence.
The second
contributing factor to the downsizing has been a challenging year for the crypto
markets, a sector in which Nansen operates. While the firm has managed to
diversify its revenue streams by attracting enterprise and institutional
customers, the cost base remained high compared to the company’s current
standing. The CEO was quick to assure that Nansen still had several years of
runway, but stressed the need to build a sustainable business.
“A
reduction of 30% of our team is significant. But we believe we need to make
organizational changes to create the right conditions for those who stay with
us. It…
