Amber Group, a Singapore-based cryptocurrency company, has announced plans to terminate its $25 million sponsorship agreement with Chelsea FC, lay off 40% of its workforce, and shut down its retail operations in an effort to save expenses.
The Amber Group and Chelsea Football Club established a relationship earlier in May 2022. In accordance with the agreement, the trading company’s WhaleFin emblem was shown on the team’s shirt sleeves for the 2022–2023 campaign.
According to reports, Amber Group paid roughly $25 million a year for the agreement with Chelsea FC. Bloomberg reports that the trading company is preparing the legal actions necessary to terminate the sponsorship agreement.
Amber Group will fire 40% of its employees
Amber Group was a frequent trader on FTX and apparently has money stuck in the defunct exchange. In order to reduce costs, it has gone on a layoff rampage.
The trade company had roughly 1,100 employees at the beginning of the year, but has since let go of 400 of them.
According to Bloomberg, Amber Group, which now employs 700 people, plans to fire up to 400 of them.
In addition, Amber will relocate to a less expensive location in Hong Kong and close many of its offices, allowing staff members to work remotely.
Retail investors were served by Amber Group’s trading and financing services, particularly in the Asian market. The company is considering to discontinue its retail operations because there is little demand for its products from retail investors.
The Amber Group received around $50 million in a private deal earlier this week. The fund will assist the trading company in developing its products with a focus on significant institutions, family offices, and high net worth individuals.
