Paxos Plans to Cut 20% of its Staff

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Stablecoin issuer Paxos has recently made the decision to lay off approximately 20% of its workforce, despite being in a strong financial position.

Paxos co-founder and CEO Charles ‘Chad’ Cascarilla explained the reasoning behind the layoffs. According to Cascarilla, the company wants to focus on the potential for growth in the tokenization and stablecoin industry, and the layoffs will allow them to prioritize and succeed in this area.

He also reassured employees that Paxos is well-positioned financially, with over $500 million in assets.

The company is offering affected employees a severance package that includes 13 weeks of pay, three months of subsidized health insurance, and three months of outplacement support.

Additionally, Paxos is extending the option to exercise vested stock options for two years.