Algorand Foundation has confirmed a 25% workforce reduction, describing the move as a response to global macro uncertainty and the broader downturn across crypto markets. The organization did not disclose how many employees were affected, but said those leaving were highly skilled. Management framed the layoffs as a restructuring effort meant to align resources with updated operating and development priorities.
The foundation said the decision was difficult and not taken lightly. Even so, the announcement puts Algorand alongside a growing list of crypto firms and ecosystem organizations that have trimmed headcount while reassessing budgets and execution plans.
ALGO remains far below its early peak
Founded by Turing Award winner Silvio Micali, Algorand launched in 2019 with a focus on secure and scalable blockchain infrastructure. The foundation oversees global adoption and development strategy for the protocol. Its native token, ALGO, reached $3.56 in its debut year and now trades near $0.09, a decline of about 98%. The asset has not reclaimed the $1 level since early 2022.
Token performance has been weak, but some network indicators moved the other way. Data cited for late 2025 showed Algorand’s quarterly transaction volume rising 4.7%. Asset valuations on the chain increased 2.9% to $109 million, placing Algorand 19th among blockchain networks ranked by current real-world asset value.
Development roadmap stays in place
Despite the internal cuts, the foundation said it is still moving ahead with several projects. Those include the next major update to AlgoKit, its developer platform, a new non-custodial wallet called Rocca, a tools suite for commercial partners, and work tied to post-quantum cryptography. Progress updates also pointed to increased decentralization, with online staked ALGO doubling between November 2024 and December 2025.
Open roles remain listed on the foundation’s official jobs portal in community engagement and business development. That suggests hiring has not stopped across the board. Instead, recruitment appears to be focused on selected functions while the organization adjusts to current market pressure.
Layoffs continue across the crypto sector
Algorand’s move mirrors a broader pattern in the industry. According to the report, OP Labs, a major contributor to the Optimism blockchain, recently cut 20 employees to concentrate resources. In the same week, PIP Labs announced a 10% reduction in staff. Gemini, Messari, and Block have also disclosed workforce cuts in recent months, often linking them to lower revenue or strategic realignment.
Bitcoin was cited at around $71,000, still roughly 44% below its historic peak. Against that backdrop, companies across digital assets continue to reset staffing levels, spending plans, and product priorities.