CLEVELAND, Ohio -- Cleveland-based blockchain voting company Votem continues to serve customers while restructuring, according to a statement from its CEO.
Votem, which is based in Cleveland, recently acquired Everyone Counts, a web-based voting company in California. Leadership is working through its options to keep the company open long-term, said CEO Pete Martin.
In an email statement to cleveland.com Tuesday, Martin said despite the layoffs, the company still is operating. He did not specify how many employees remained with Votem or Everyone Counts. He also did not include how many people were laid off.
“On Friday we kicked off a restructuring and recapitalization of the company which included layoffs. The company is still intact and operating and working through multiple options to hopefully ensure its long-term viability. We do have employees and are actively supporting many current customers," Martin wrote.
Votem, which operates on blockchain technology, works on mobile voting systems which one day could be adopted for political elections.
Martin was a speaker at the Blockland Solutions conference. Bernie Moreno, who started Cleveland’s Blockland effort, is a minor investor in the company. Moreno, in an interview with cleveland.com on Monday, said he believes that even if Votem closes, it shouldn’t reflect poorly on the possibilities of blockchain.
“You know how many tech companies fold,” Moreno said in an interview with cleveland.com. “That’s just the nature of technology. ... It has nothing to do with the underlying technology.”
Votem, which hosted Rock & Roll Hall of Fame fan vote, among other clients, served as an example of blockchain technology’s applications and potential successes for the Blockland movement, which aims to make Cleveland a center for blockchain technology.
Cleveland Scene reported on Tuesday that Votem had closed and fired all of its employees. Scene later corrected the story.
Recapitalization usually refers to a company restructuring its finances, including debt, to keep the company stable.