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Coinbase shares rise after CEO announces 14% workforce cut
Coinbase expects restructuring charges of $50 million to $60 million, mostly to be recognized in the second quarter.
Coinbase shares jumped as much as 4% early Tuesday after CEO Brian Armstrong said the exchange will cut about 14% of its global workforce in a restructuring tied to artificial intelligence, according to DL News.
Armstrong blamed two pressures, a crypto market that remains down roughly $1.5 trillion from its peak and the growing ability of AI to accelerate engineering and automate workflows, DL News reported.
Coinbase had 4,951 employees as of December 31, 2025, implying the planned cuts would affect about 693 employees, DL News said.
The company also expects to incur $50 million to $60 million in restructuring charges, mostly recognized in the second quarter, and Armstrong outlined plans to reduce management layers below the CEO and build smaller AI-native teams, according to DL News.