Even though the Unchained capital doesn’t deal with FTX, the long bitcoin bear market is hurting parts of the business.
About fifteen percent of Unchained Capital employees were let go, and Parker Lewis, the company’s head of business development, was elevated to the board of directors. Will Cole, the company’s chief product officer, was promoted to a senior advisory post.
Joe Kelly, co-founder and CEO of Unchained, stated on Friday in a blog post that while the company has never had any exposure to FTX, Alameda, or any other institutions that have lost client funds, “funding for bitcoin-backed loans has been materially constrained by recent market events.” Kelly was commenting on the recent job cuts that were implemented by the company.
He said that his business is seeing record amounts of new customers, bitcoin deposits, and trading volumes and that the loan book is presently at a collateral-to-principal ratio of 214%.
In a second blog post in which he discussed the transitions, Parker Lewis acknowledged that “we have certainly made errors along the road.” “Despite the fact that we weathered every storm without suffering a loss on any loans, we grew the team more quickly than we otherwise would have done had we adequately accounted for the state of the market at the time.”
