Blockchain Smartphone Company Sirin Labs Struggling to Survive, But Why?

Sirin Labs, a company behind Finney blockchain smartphone has recently announced to lay off its 15 out of 60 employees. Less than a month ago, Sirin Labs had teamed up with MyEtherWallet, Ethereum wallet generating service for an integration benefiting both the firm. Following the latest lay-off announcement, one specific reason that has revealed is ‘poor sales’.

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Sirin Labs Lay-Off 15 out of 60 Employees

‘Sales are not what we expected’ – a very short yet precise reason behind Sirin Lab’s lay off announcement. Per the reports, the firm is not satisfied with the outcome than what they outlined it supposed to be. Ultimately, it says that the customers are disappointed with the recently launched blockchain phones – henceforth the poor sales.

The reports were confirmed by the Sirin Labs’s lead after the rumors spread the web – in fact, CEO Moshe Hogeg comes forth to response the rumors and said that they have already laid off 15 staff. The firm had reportedly completed the development of Finney phone equipped with digital wallets and other applications required to utilize digital currencies within. Moreover, the phone’s launch finally hit the market in November 2018 and was reportedly available at a price of $999. Nevertheless, Lionel Messi, Argentinian soccer star was also on the limelight as Finney phone’s brand ambassador. Speaking to the media report, Moshe Hogeg says that;

The global market is not in the best state

No, Not Due to Bear Market

Although lay off rumors were not just rumors but turned out to reality after CEO’s response but the firm disproved to other statements that say – Sirin Labs failed to pay staff payments. Responding to this context, CEO said that the firm had already paid the wages of March on April 15 and will be paid off for the month of April the next day (supposed to be on April 16).

Addressing the sales performance of Finney phone, Sirin Labs said;

Sales are not what we expected, said Sirin Labs by adding, the company gives some of its work to outsourcing and plans to focus on development and distribution of the software,

While it comes to lay-off in crypto space, the industry has already recorded such incidents among many big names – including Bitmain, Huobi, Shapeshift and very recently Ledger Wallet. In fact, such announcement comes during the downtrend in crypto prices – but the Sirin Labs is citing the report of poor sale and not declining crypto market prices.

Nevertheless, Sirin Labs isn’t the only firm developing blockchain phone – crypto and blockchain enthusiasts can turn their ways to EXODUS 1 (from HTC) and Galaxy S10 (from Samsung) which offers blockchain features including dApp.