At the beginning of 2026, the cryptocurrency industry is experiencing a massive wave of layoffs caused by both a deteriorating market situation and the implementation of cutting-edge artificial intelligence technologies. In recent weeks, over 450 employees have lost their jobs at leading companies in the sector, and the number of open positions at cryptocurrency exchanges has decreased by approximately 80% compared to last year.
This is reported by Finway
Staff Reductions and Changes in the Job Market
Significant layoffs have affected companies such as Algorand Foundation, Gemini, Crypto.com, OP Labs, PIP Labs, and Messari. Overall, these firms have laid off around 450 employees in a short period, but the actual number of layoffs may be even higher. Particularly large workforce optimization measures have taken place at Gemini, which reduced its staff by up to 30%, as well as at Crypto.com, where 12% of employees were let go.
At the same time, demand for specialists has sharply declined. According to analysts, in January 2026, only about 6.5 new positions were opened daily at major cryptocurrency exchanges, which is 80% less than in January 2025. This indicates a significant decrease in activity in the job market within the cryptocurrency sector.
The Impact of Artificial Intelligence and Market Consolidation
Companies explain the reasons for the layoffs in various ways. Some directly point to unstable market conditions and falling prices for digital assets, while others emphasize the implementation of artificial intelligence, which allows for the optimization of business processes and reduction of costs.
“AI has completely changed the game […] making an engineer ’10x’ now ‘100x’,” said Gemini, commenting on the staff reductions.
At Messari, this is already the third round of layoffs since 2023, linked to the company’s shift in strategy towards developing artificial intelligence-based solutions. Crypto.com also confirmed that the use of AI helps to enhance efficiency and reduce personnel costs.
At the same time, several experts note that the key factor in the staff reductions is not only AI but also market consolidation and the scaling back of certain segments, particularly restaking, DePIN, and layer two solutions. The decrease in hiring activity indicates deeper structural changes in the industry and companies’ efforts to adapt to new economic challenges.
Similar processes have already occurred during previous downturns: for example, during the crypto winter of 2022, the industry lost over 26,000 jobs, but the true scale of the layoffs only became apparent later.
It is also known that Block, founded by former Twitter CEO Jack Dorsey, recently laid off 4,000 employees as part of a restructuring effort.