Technology investment firm Coatue significantly reduces its stake in OpenSea, with many shareholders exiting at a loss.

According to internal documents obtained by The Information, prominent US technology investment firm Coatue Management has significantly reduced its investment in the NFT trading platform OpenSea. Reportedly, Coatue has lowered its investment valuation in OpenSea from $120 million to $13 million in the second quarter of 2023, indicating that OpenSea's market valuation may have dropped below the $1.4 billion threshold.

NFT Bear Market: OpenSea Shareholders Selling Off Holdings

According to a report by The Block, during OpenSea's Series C funding last year, led by Coatue Management, the company successfully raised $300 million, valuing it at a high of $13.3 billion. However, faced with the bearish sentiment in the cryptocurrency market in 2023, many shareholders have chosen to reduce their holdings in OpenSea.

Adapting to market changes, OpenSea has also undergone significant organizational adjustments. On November 3, OpenSea's CEO, Devin Finzer, announced that in order to focus on improving technology, reliability, speed, quality, and user experience, the company will be laying off 50% of its workforce globally. Finzer emphasized that the restructured OpenSea will implement a more flat management structure and reduce mid-level management layers.