Crypto Services Company Prime Trust Lays Off One-Third of Staff

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Crypto services company Prime Trust laid off one-third of its staff Tuesday, two people familiar with the matter said.

The cuts largely impacted staff in Prime Trust’s communications and compliance departments, though a full picture of the how many are affected by the reduction wasn’t immediately apparent. One person 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 said 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 The company declined to comment at the time on why the application was withdrawn, but public records show Prime Trust was fined nearly $30,000 by Texas regulators in 2022 for conducting money transmission activities in the state without a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 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.