- Bitwise has cut 14% of its workforce, leaving around 155 employees.
- The layoffs come as the crypto market continues to struggle.
- Bitwise's BITW fund saw its net assets fall 31% during the first seven months of 2026.
- Coinbase, BitGo and Polygon Labs have also announced layoffs this year.
- Bitwise remains optimistic about long-term crypto growth.
- CIO Matt Hougan believes the current crypto downturn may be close to a bottom.
Bitwise Asset Management has cut 14% of its workforce, bringing its global team down to around 155 employees.
The layoffs come as the crypto market continues to face weaker conditions.
Bitwise CEO Hunter Horsley said the reduction was made to position the company for future growth as crypto continues becoming a bigger part of the global financial system.
However, Bitwise is also dealing with the effects of the market downturn.
Its Bitwise 10 Crypto Index Fund (BITW) saw its net assets fall by around 31% during the first seven months of 2026.
Despite the weaker market, Bitwise has continued expanding its business.
In February, the company completed its acquisition of Chorus One, an institutional staking provider, as it looks to expand its staking services across more than 30 proof-of-stake networks.
Crypto layoffs continue
Bitwise is far from the only crypto company cutting jobs.
Polygon Labs announced another round of layoffs in July as it worked on its Coinme acquisition and shifted its focus toward payments.
In June, BitGo cut 15% of its workforce, while Coinbase cut 14% of its staff in May.
The layoffs highlight how crypto companies are reducing costs during the market downturn while also turning more heavily toward AI and automation.
Despite the layoffs, Bitwise's leadership remains bullish on the market.
Bitwise CIO Matt Hougan recently said bitcoin's ability to remain relatively resilient despite negative developments, including the delay of the Clarity Act and Strategy selling bitcoin, could indicate that the current bear market is nearing its bottom.
Hougan also believes large wealth management platforms could become an important catalyst for the next crypto bull market.
