Robinhood is laying off more employees and reorganizing teams as part of a new focus on credit cards as the company tries to mitigate a shrinking user base, insiders say.
Insiders say the company is planning to merge X1 with its Robinhood Money organization, the subsidiary focused on cash management and spending features of the app like its debit card, direct deposit, and peer-to-peer payments.
“This has been causing a bit of panic within executive leadership,” one insider said, adding that X1 is Robinhood’s “latest pivot to try to get out of that rut.”
The layoff was widely reported, but audio of an all-hands meeting reviewed by Insider recently showed ongoing cuts have been deeper.
Posts on a private group for people with a Robinhood.com email address on the tech-industry chat app Blind suggests layoffs as recently as Thursday, according to screenshots viewed by Insider.
But more recently, we’ve been helping customers with their comprehensive set of financial needs," Robinhood chief executive and cofounder Vlad Tenev said during an event held by TechCrunch this week.
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