Chipper Cash executes second round of layoffs
Chipper Cash, an African cross-border payments platform, implemented a second round of job cuts last Friday. This is just 10 weeks after they cut about 12.5% of workforce (the engineering team was hit the hardest).
The company's vice president of revenue shared the news on LinkedIn, saying that every sector of Chipper Cash's market was affected this time around. It was a sad day for me.
The US, UK, South Africa, Nigeria and Kenya have an incredibly talented pool of individuals who use Chipper Cash. All of them have extensive experience leading highly complex and multicultural teams and projects in the fintech space.
Chipper Cash has cut off nearly a third of its workforce. This is to reduce costs during tough times for private and public technology companies in the world.
The past two years have been a period of rapid growth and expansion as a company and reflecting an increase in global headcount of approximately 250 people.
Chipper Cash has also denied reports that they have closed its crypto division which handles crypto products, one of his three main products, including FX and airtime. Chipper is one of the largest crypto platforms and one of the fastest growing products in Africa today.
Serunjogi founded Chipper Cash with Maijid Moujaled in 2018 to provide commission-free peer-to-peer cross-border payment services to Africans. The company says it has more than 5 million customers in Ghana, Uganda, Nigeria, Tanzania, Rwanda, South Africa, Kenya and more recently in the US and UK, and the FTX-backed startup has been around for the past year.
Last November, the African cross-border payments app announced it would expand into southern Africa with the acquisition of Zambian fintech company Zoona. And the following month, following the bankruptcy of FTX, they announced that the African fintech that had raised over $300 million from investors including defunct crypto exchanges SVB Capital and Ribbit Capital was valued at $2 billion and that it was reduced to $1.25 billion.
However, they have narrowed their current focus to core markets and products, concentrating efforts on areas where they know they can succeed. Unfortunately, the reality of this focused prioritisation is that Chipper Cash require smaller teams.