Arca has laid off 30% of its staff citing the continued crypto winter and regulatory uncertainty.

“Growth has been hard to predict in this extended bear market and uncertain regulatory environment,” a spokesperson for Arca told CoinDesk. “Our headcount adjustment will allow us to preserve capital and resources giving us a greater chance of success until this sector experiences a shift in sentiment and a clear regulatory picture.”

According to LinkedIn, the Los Angeles-based hedge fund currently has 66 employees. Founded in 2018, the company raised $10 million in a Series A funding round in 2021.

Arca has two separate divisions, investment management arm Arca Investments and a division focused on innovation, Arca Labs.