NEM Foundation Charts Path Forward After $8 Million Rescue, Major Cutbacks

Published on by Coindesk | Published on

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The NEM Foundation is mapping out its survival plans in real time after obtaining a funding injection of roughly $8 million last month and laying off most of its staff.

In a post published Friday, NEM Foundation leadership laid out how the first installment of 25 million XEM will be spent.

"I think this is a vote of confidence that the industry is moving forward and that we're ready to pivot to a very new way of working," NEM Foundation president Alexandra Tinsman told CoinDesk in an interview Friday.

The move comes after major cutbacks at the foundation, which at its peak in 2018 employed 150 and had a physical presence in 20 countries.

Tinsman confirmed Friday that the foundation had laid off about 100 people - a mix of consultants and full-time staffers - over the past month.

"The tech itself is doing things that no other blockchain has done before," NEM Foundation interim CTO Jeff McDonald told CoinDesk Friday.

Stepping back, the NEM Foundation announced in January that it was in dire financial straits.

The newly elected Tinsman told CoinDesk at the time that the foundation was facing layoffs and severe budget cuts "Due to the mismanagement of the previous governance council."

The injection of 210 million XEM is meant to fund the foundation's operations through Feb. 20, 2020.

NEM Foundation president Alex Tinsman speaks at SXSW 2018, photo via NEM/Facebook.