Utopia Labs, a provider of crypto funds and stablecoin on- and off-ramps for crypto companies, offered on Monday that it would wind down its core product on November 6. Quickly after, Utopia CEO Kaito Cunningham confirmed that a spherical of layoffs took space closing week.

Records Lead Chris Lepensky wrote on X that he modified into once phase of the cuts “along with the majority of workers.”

Cunningham did no longer at once reply to Unchained for comment.

The news comes about 16 months after Utopia raised $23 million in a Paradigm-led funding spherical in June 2022.

In accordance with its announcement, the San Francisco- and Vancouver-primarily based totally totally Utopia Labs is slowly turning off its core product, which helps pass on-chain funds to off-chain counterparties. The startup, which got right here out of stealth in 2021, has already turned off gasless transactions and engineering obtained’t be responding to any bugs. The product will remain on hand till the cease of the month. All services will most definitely be turned off on November 6.

Mild, Cunningham insists that the firm is no longer any longer shutting down, but fairly is transferring in a new direction. “For the supporters of Utopia — we’re no longer shutting down the firm, fairly, transferring faraway from our existing product and our existing direction,” wrote Cunningham within the announcement publish. “I’m more optimistic about crypto than I ever were, and I’m excited to allotment the direction we’re taking with Utopia over the following couple of months.”