Immutable cuts 11% of workforce

The Australian start-up has had to cut a significant portion of its staff to ensure that its cash reserves last longer.

Australian crypto gaming company Immutable has made the decision to axe 11% of its workforce, the company said on Wednesday morning.

Immutable recently received $280m as part of a funding round and was valued at $3.5bn as of March 2022, making it one of the biggest crypto gaming start-ups out there.

However, its CEO and co-founder James Ferguson has said that the layoffs were necessary to ensure that the company’s cash reserves last longer and allow Immutable to move towards its most important projects.

“This is difficult news, and I am sorry to all Immutables impacted by these changes”, Ferguson told The Sydney Morning Herald and The Age in an email statement.

He expressed regret that the decision to lay off people would have a direct bearing on their livelihood and apologized.

This decision is partly motivated by poor results. For one, Immutable earned only $27m as per its last submission to the Australian Securities and Investments Commission.

This is in stark contrast to its $83m of expenses, which includes $45m paid to consultants, freelancers, and employees.

Another issue is that many of the crypto tokens the company holds are its own, and Immutable more or less helps determine the value of these tokens, which can be dangerous in the long-term and amid another bear market run.

However, Immutable told the media that there was nothing to worry about as of right now.

The company claims to hold $280m in cash on its balance sheet and was a long-term holder of its tokens in order to guarantee their stability.

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Written by Alex


Alex is a well-rounded crypto writer who focuses on general market and legal developments. His main interest lies in how crypto gaming can become a more permanent part of the gaming landscape and how blockchain holds benefits to players they are not even aware of.

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