Steemit has appointed a new CEO as it reshuffles after its massive layoff. The reshuffle sees the former head of communication Elizabeth Powell become the CEO and the former director Ned Scott become the executive chairman.
After laying off 70 per cent of its workforce last November, Steemit has taken a bold step to move further through restructuring. The blockchain powered social network that pays contributors in crypto stated that it struggled to maintain its burn rate in the crypto market bear. This caused the width of its native token to go down. After the downsizing and reshuffling, the firm now has 14 full-time employees.
The newly appointed CEO Powell joined the firm in May 2018 as head of communication. She noted that she had been the de facto CEO for some time, and the official conversation was made during the Christmas.
Further, she noted that the role is to be a shared position between her and Scott who is the executive chairman. Powell stated that she and Ned work together well and they will continue to work side by side to execute the vision of the firm. They are also open to whatever makes the company works she stated.
Also, Powell stated in a press release on Steemit that the next 12 months will be in a survival mode for the firm as austerity measures will be taken. The firm will equally be focused on building ad revenue for the first time on the platform and getting operation fee also under control according to her. Powell further stated that the firm might accept sponsorship payment in Bitcoin as many ICOs have approached them on paid marketing.
Steemit is a social media platform owned by Steemit Inc that uses the Steem blockchain to reward publishers and curators. The platform was launched On July 4, 2016.
Crypto Market Bear Effect
The prevalent crypto market bear which has made Steemit to downsize 70 per cent of its workforce has affected many crypto and blockchain startups. The effect has made many to shut down operation and many others to also downsize their workforce.
Recently, Galaxy digital raised credit fund of 250 million dollars to aid the survival of crypto firms in the lingering bear market. The credit can be backed with collateral in forms of token, mining equipment among others.
As long as the bear market continues, firms will be applying various austerity measures to survive.