coindesk.com
Crypto services company Prime Trust laid off a third of its staff Tuesday, two sources familiar with the matter said.
The cuts largely impacted staff in Prime Trust’s communications and compliance departments, though a full picture of the reduction wasn’t immediately apparent. One source characterized the move as a cost cutting measure.
Prime Trust builds crypto and fiat payment, custody and regulatory services for other crypto companies including Swan, Abra and Okcoin.
The layoffs come amid a series of public difficulties for the company.
Last week, Prime Trust announced that it would be suspending business operations in Texas by Jan. 31 after withdrawing its applications to receive a money transmitter license (MTL) in the state. The company declined to comment at the time on why the application was withdrawn, but public records show Prime Trust was fined nearly $30,000 by Texas regulators in 2022 for conducting money transmission activities in the state without a license.
In November, Prime Trust’s CEO Tom Pageler was replaced with Jor Law, the current interim CEO.
A representative for the company did not immediately return a request for comment.