Robinhood cuts nearly a quarter of staff as crypto dives

Trading platform Robinhood is cutting nearly a quarter of its staff due to high inflation and the falling cryptocurrency market.

The company said the economic climate had reduced trading activity, which had boomed at the height of the pandemic.

The move comes after the firm reported quarterly revenues of $318m (£260m), 44% down on $565m a year earlier.

In April, the firm slashed 9% of its workforce, which its boss Vlad Tenev said “did not go far enough”.

“Last year, we staffed many of our operations functions under the assumption that the heightened retail engagement we had been seeing with the stock and crypto markets in the Covid era would persist into 2022,” said Mr Tenev.

“In this new environment, we are operating with more staffing than appropriate. As CEO, I approved and took responsibility for our ambitious staffing trajectory – this is on me.”

The latest cuts will affect 780 members of staff, and come in addition to the cuts announced earlier this year.

Source: https://www.bbc.com/news/business-62405029