Payments Provider Affirm To Dusk Crypto Program After 19% Staff Cut

Users will not have the Option to buy Bitcoin after Walk 2, and the “Affirm Crypto Program” will Officially close down on Walk 31.

Max Levchin, The CEO of buy-now-pay-later company Affirm, has confirmed that they will close down their “Affirm Crypto Program” in the midst of hosing Consumer Spending and a Changing Macroeconomic Environment.

The letter was released by the CEO.There was a staff cut. He cited uncertain macroeconomic conditions and the need to offset some liabilities on the firm’s balance sheet as the two main reasons behind the decision.
In a time of Increased economic uncertainty, we are Postponing projects with less certain revenue courses of events and aligning our Operating Expenses with revenue.

Concurrent with Diminishing our workforce, we are sunsetting several Initiatives, for example, Affirm Crypto.”
The Firm’s Chief Financial Officer, Michael Linford, said the decision was made to meet Profitability goals.

According to the Affirm website, the Affirm program will close on March 31. On March 2, 2023, the Affirm app will no longer be able to Purchase Bitcoins.
The Affirm Cryptocurrency Program will end on March 31, 2023. When the program ends, your account will be sold at the BRR.

The sale proceeds will be deposited into your Affirm Savings account. According to the Affirm website, the Affirm program will officially close on Walk 31.
The Affirm app’s capacity to purchase bitcoins will end on Walk 2, 2023. On Walk 31, we will end the Affirm Cryptocurrency Program.
When the program ends, your account will be sold at the BRR. The sale proceeds will be deposited into your Affirm Investment account.

The closure is of course a part of a bigger staff cleanout for the San Francisco-based lending platform. Levchin said the 19% decrease in its workforce took effect Feb 8.

In a Feb. 8 note to employees, Levchin shouldered the blame by stating that he acted too leisurely to actions from the U.S. Federal Reserve:

“Everything Changed in mid-2022. Over the last three Quarters, the Fed Increased its benchmark rate at a remarkable speed. This has proactively hosed consumer spending and Increased Affirm’s cost of Borrowing Dramatically. The main driver of where we are today is that I acted too leisurely as these macroeconomic changes unfolded.”
Approximately 2,593 individuals claim to be utilized at Affirm, according to current figures from LinkedIn.

This implies about 500 people were reasonable Impacted by the announcement.
the number of employees that related to its Crypto Initiative were impacted, however, no additional information was shared.

The CEO did however state in the letter that he hopes to keep the ongoing headcount to remain basically flat for the foreseeable future.