June 21 (Reuters) – BlockFi has signed a time period sheet with digital asset change FTX for a $250 million revolving credit score facility, the cryptocurrency agency’s chief government officer, Zac Prince, stated in a tweet on Tuesday.
The settlement will give BlockFi entry to capital amid a route within the digital forex market. Final week, the corporate stated it was decreasing its headcount by about 20%, along with implementing different cost-cutting measures like decreasing advertising spend and government compensation. learn extra
Aggressive charge hikes by the US Federal Reserve and recession fears have led to a turmoil in equities and sparked a sell-off in crytocurrencies. Over the weekend, the world’s largest cryptocurrency, bitcoin, dropped under the important thing $20,000 degree for the primary time since December 2020.
The crypto winter has additionally harm different main gamers like Coinbase International Inc (COIN.O), which final week stated it could reduce about 18% of its workforce.
Corporations use revolving credit score amenities as backstop financing to fight adversarial impacts on different sources of revenue. For probably the most half, these amenities stay undrawn.
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Reporting by Niket Nishant in Bengaluru; Modifying by Maju Samuel
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