Bitwise Cuts 14% of Staff as Crypto Slump Reaches ETF Issuers

What happened

Bitwise announced it is laying off 14% of its workforce, a reduction equal to Coinbase’s May cuts and following recent closures at BitMEX and BitMart.

Confirmed

Global impact / market context

The layoffs show that crypto‑focused firms are still feeling pressure from the prolonged market downturn, which may limit hiring, product development, and expansion plans across the sector.

Analyst inference

Crypto prices have been low for months, and investors have pulled back from new projects, leading to fewer capital inflows and tighter funding for companies that rely on crypto‑related revenue.

Analyst inference

What to watch

1. Whether Bitwise will pause or scale back upcoming ETF launches, which could affect the supply of regulated crypto investment products. Analyst inference
2. If other crypto firms announce similar staff reductions, indicating broader cost‑cutting trends in the industry. Analyst inference
3. Regulatory developments that might ease or tighten rules for crypto ETFs, influencing Bitwise’s ability to attract institutional investors. Analyst inference

Evidence

• decrypt.co