Bitwise Asset Management cut 14% of its workforce, shrinking the global staff to about 155, in what the CEO frames as a necessary step to position the firm for growth amid a prolonged crypto downturn.

The layoff reflects a broader industry trend, with trackers documenting over 7,250 disclosed crypto job cuts across 47 firms this year, underscoring a stressed labor market in the sector.

Crypto players including Coinbase, FalconX, BitMEX, and BitMart have pursued sizable reductions or closures as market conditions worsen.

Demand for other Bitwise products remains resilient, with XRP exchange-traded products drawing more than $200 million in inflows in the first half of 2026.

June inflows into U.S. and European XRP ETPs continued to signal appetite for certain altcoin products amid the cycle.

Industry observers note that institutional adoption and product diversification, including tokenization, could sustain growth potential even as markets stay challenging.

Bitwise kept launching and operating products despite weakness, notably the Hyperliquid ETF debuting on the NYSE in mid-May with a first-month sponsor-fee waiver on assets up to $500 million.

Bitwise manages about $9 billion across more than 70 products, including a $2.3 billion spot Bitcoin ETF, with offerings spanning ETFs, separately managed accounts, private funds, hedge strategies, and staking.

Bitwise has pursued growth through acquisitions and product launches, notably acquiring Chorus One in February to expand staking services across numerous proof-of-stake networks.

Despite staffing cuts, Bitwise is advancing with new products like tokenized funds and broader tokenization initiatives.

Bitwise’s expansion earlier in 2025, including a $70 million raise to broaden offerings, contrasted with the tighter conditions of 2026.

Bitwise leadership remains cautiously optimistic, with notes that Bitcoin may have found a bottom and that large wealth platforms could catalyze a future crypto bull market.