- Why Is ZK Coin Dropping?
- Message from MatterLabs CEO
- Market Reaction
The decline in ZK Coin's price is linked to employee layoffs at MatterLabs. This highlights the difficulties faced by cryptocurrency companies in the current market situation.
Why Is ZK Coin Dropping?
The company behind ZK Coin, MatterLabs, announced it is parting ways with 16% of its employees. Following this announcement, ZK Coin's price dropped nearly 5%, risking falling below $0.1. Additionally, BTC is also showing weakness, attempting to drop below $58,000 at the time of writing.
Message from MatterLabs CEO
MatterLabs CEO Alex recently wrote:
Today, I am sharing the most difficult change we have had to make in Matter Labs’ 6-year history. We are restructuring the organization and parting ways with many great team members (~16% of the team). We have already reached out to each affected individual personally.
As the founder and CEO, I take full responsibility for this decision and the decisions leading up to it. To those leaving: I am sorry we had to take this step. It is painful to say goodbye to talented employees for reasons unrelated to their performance. I will explain why we made this decision, how we will support the departing team members, and what this means for Matter Labs moving forward.
As CEO, my job is to keep organizational complexity under control. To avoid such painful adjustments in the future, I will ensure that all new functions and roles we hire align with our long-term strategy and maintain the highest performance standards.Alex, CEO of MatterLabs
Market Reaction
It has been noted that during US trading hours, cryptocurrencies tend to decline more. Once again, as the US markets opened, crypto sales accelerated.
The layoffs at MatterLabs have worsened the situation for ZK Coin, which is already under pressure from the weak BTC. It is important to monitor the situation in the market to understand future prospects.
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