A wave of layoffs swept through the crypto industry in early 2026, with Algorand, Gemini, Crypto.com, OP Labs, PIP Labs, and Messari all reducing headcount. The total cuts amount to roughly 450 positions, but the official reasons vary—some point to macro headwinds, others to a pivot toward AI integration.
Who cut how many staff?
Algorand laid off 25% of its fewer-than-200 employees, citing “the ongoing crypto downturn” and weak token prices—ALGO traded at $0.09, down 98% from its 2019 peak. Gemini eliminated roughly 200 positions in February, with the share rising to 30% by mid-March. Crypto.com trimmed 12% of its workforce (about 180 people). OP Labs cut 20 jobs, and PIP Labs reduced staff by 10%. Messari conducted its third round of layoffs since 2023, though the exact number was not disclosed.
Macro downturn or AI narrative?
Algorand directly blamed macro conditions. Gemini stressed that “not adopting AI would soon be akin to using a typewriter instead of a laptop.” Crypto.com CEO Kris Marszalek argued that companies failing to pivot toward AI will fail, and that AI integration boosted efficiency, requiring fewer workers. Yet Dan Escow, founder of crypto recruitment firm Up Top, disagreed: “I see no real indication that these layoffs have anything to do with AI workforce replacement at scale.” He believes cost-cutting and survival are the real drivers.
Job market shrinks 80%
The broader crypto job market reflects the turmoil. New job postings on major crypto boards ran at just 6.5 per day in January 2026, down roughly 80% year-on-year. The recent layoffs alone account for about 450 job losses. This wave echoes the 2022 crypto winter, when over 26,000 positions were cut. The difference now is that AI serves as a convenient explanation for some firms, but the underlying forces may still be market cycles and cost discipline.