Anchorage Digital, the sole federally chartered cryptocurrency bank in the United States, has announced that it will lay off around 20% of its workforce due to regulatory uncertainty, macroeconomic challenges, and fluctuations in the cryptocurrency market.

The company has announced that it has undergone a review process and made strategic adjustments to its business. Despite growth, the company cited challenges in the industry due to macroeconomic, market, and regulatory factors. Additionally, 75 employees have been laid off.

The cryptocurrency custodian, announced that it has received conditional approval to become a national digital bank in the US. This comes after Signature Bank and Silicon Valley Bank, which were friendly towards crypto, were taken over by regulators due to deposit runs and solvency concerns. Unlike those two institutions, Anchorage Digital operates under federal oversight instead of state regulation.

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