Antonio Juliano, the founder of dYdX, just announced a big change. The company is cutting its core workforce by 35%. Surprisingly, this news hasn’t affected the price of dYdX.

In his announcement, Juliano didn’t go into detail about why they’re making these layoffs or how many employees are impacted. However, he did mention that the team they have now is what they need for future plans.

“Today, I made the incredibly tough decision to lay off 35% of the dYdX core team. We now have the team we need going forward, but first we say goodbye to those who have left,” Juliano said.

He added that dYdX was built with a different vision than what’s needed now, which led to this difficult choice.

“The decision to let go was a realization that the company we’ve built is different from the company dYdX must be. We will move forward with clarity and renewed passion. We will create amazing things,” he explained.

Right now, dYdX has about 50 employees and is hiring for several engineering and design roles. This announcement didn’t hurt the price of dYdX, which is still above $1. In fact, it’s up 8% since the start of the week. But it's still 96% lower than its all-time high.

This decision comes as dYdX faces a significant drop in its Total Value Locked (TVL) this year. The TVL fell from over $500 million in March to just $287 million. Meanwhile, Hyperliquid, another decentralized derivatives exchange, has seen its TVL grow tenfold this year, recently hitting a record high of over $870 million.

dYdX isn’t alone in this trend. Recently, Consensys, the developer behind the MetaMask wallet, announced a 20% reduction in its workforce. They cited macroeconomic pressures and regulatory challenges as reasons for this decision.