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Crypto Firms Slash Staff Amid Bear Market & AI Pivot

Crypto firms enact mass layoffs citing AI pivot amid market downturn.

  • Major cryptocurrency firms are conducting significant workforce reductions amid a bear market and global economic struggles.
  • Several companies, including crypto.com and Messari, are citing an “AI pivot” as a key reason for layoffs.
  • Other industry players like OpenSea and Kraken are delaying key initiatives, such as token launches and IPOs.

In March 2026, the crypto industry is facing a wave of layoffs and operational delays driven by a persistent bear market and broader global economic turbulence. Firms from protocols to exchanges are responding by cutting staff and pivoting their business strategies.

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Algorand recently announced a significant workforce reduction of 25%, citing “the uncertain global macro environment as well as the broader downturn in crypto markets.” Consequently, Gemini had previously let go 25% of its staff in February, claiming AI enabled greater efficiency with fewer employees. Meanwhile, Crypto.com announced a 12% staff layoff with its CEO, Kris Marszalek, arguing the roles of the fired staff “do not adapt in our new world.”

Other analytics and protocol firms are following suit. Messari announced it was “doubling down” on becoming an “AI-first company” under new leadership. Similarly, OP Labs fired 20 staff last week, with its CEO stating the move was about focusing and reducing overhead.

However, the difficult conditions are also causing planned initiatives to stall. OpenSea announced a delay for its $SEA token launch due to challenging market conditions. Kraken’s parent company, Payward, is similarly pausing its multibillion-dollar IPO plans until the market improves. These widespread cuts and delays highlight the sector’s current pressures, even as some firms leverage AI to justify workforce restructuring.

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