(Bloomberg) -- Chainalysis Inc., a company that specializes in tracking crypto transactions and the entities behind them, said it’s made layoffs affecting less than 5% of staff.

The company, whose backers include Singapore’s sovereign wealth fund GIC, has about 900 employees following the job cuts, a Chainalysis spokesperson said Wednesday.

The spokesperson said the cuts are part of a wider reorganization, adding that the business is well-capitalized and that it will build out teams under a refocused strategy this year.  

Founded in 2014, Chainalysis has gained prominence for collaborating with the US and other governments on crypto-related probes. That work intensified in the past year following a series of high-profile collapses across the industry, from the hedge fund Three Arrows Capital to the exchange FTX.

The digital-asset sector has been hit by a spate of layoffs following last year’s rout in token prices. Thousands of jobs have been lost since the start of 2023 alone.

Chief Executive Officer Michael Gronager said in an interview in January at the World Economic Forum in Davos that Chainalysis is seeking to boost staff by about 11% as part of a global expansion that could include new acquisitions. 

  • Read more: Crypto Industry’s Job Cuts Top 1,600 in First Weeks of Year

For crypto market prices: CRYP; for top crypto news: TOP CRYPTO. 

(Adds context starting in second paragraph.)

©2023 Bloomberg L.P.