Cryptocurrency mining giant Bitmain will close Bitmaintech Israel and layoff its 23 employees, according to a report from Israeli news outlet Globes. The company has reportedly cited the ongoing cryptocurrency bear market for the decision:
Bitmain launched the Bitmaintech Israel development center in 2016 in the city of Ra’anana. This most recent development is a definite shift in the company’s strategy from just five months ago. In July, reports suggested that Bitmain was planning to triple the size of its then-15-employee workforce.
Under the leadership of Bitmain VP Gadi Glikberg, the center has focused on developing blockchain technology, artificial intelligence, and the Connect BTC mining pool. On Monday, Glikberg reportedly explained the decision to the center’s employees:
"The crypto market has undergone a shake-up in the past few months, which has forced Bitmain to examine its various activities around the globe and to refocus its business in accordance with the current situation."