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Key Takeaways
- BitGo is cutting nearly 15% of staff to refocus on security, trading, stablecoins, settlement, and AI-powered infrastructure.
- Q1 revenue surged 113% but net losses widened, and shares have fallen roughly 73% since the January IPO.
- The cuts follow similar reductions at Coinbase and Robinhood as AI-driven restructuring spreads across crypto.
BitGo co-founder and CEO Mike Belshe announced Thursday that the crypto custody and infrastructure firm is reducing its workforce by nearly 15% as the firm shifts resources toward security, trading, stablecoins, settlement, and AI-powered infrastructure. BitGo also disclosed the move in an SEC filing.
Belshe Says Layoffs Are a One-Time Refocus Around Core Priorities
Belshe made the announcement in a post on X, saying the company needs to concentrate people and resources on a narrower set of priorities.
“The ecosystem has evolved, and the way we build financial services has changed dramatically. To keep winning for our clients, we need to be sharper, more focused, and concentrate our people and energy on the areas that matter most: security, trading, stablecoins, settlement, and AI-powered infrastructure.”
He described the layoffs as a one-time action and said the company does not anticipate further reductions. BitGo did not confirm the exact number of staff affected. Its 2025 annual report disclosed 603 full-time employees as of December 31, 2025, suggesting the cuts could have affected roughly 90 people.
Layoffs Follow Widening Losses Despite Strong Revenue Growth
The cuts follow BitGo’s first quarterly report as a public company. Q1 2026 revenue surged 112.6% year-over-year to $3.8 billion, but net losses widened to $60.7 million from $25.7 million a year earlier. The company attributed the wider loss to non-cash mark-to-market adjustments on its bitcoin treasury and elevated stock-based compensation tied to its January IPO.
BitGo priced its IPO at $18 per share in January, generating about $198.5 million in gross proceeds. BTGO shares closed Thursday at $4.80, down 4.76% on the session, extending a decline of nearly 73% from its debut price.
BitGo Layoffs Follow Coinbase and Robinhood Staff Reductions
BitGo’s reduction adds to a growing list of crypto industry job cuts in 2026. Coinbase cut 700 employees, roughly 14% of its workforce, in May, citing a similar shift toward AI-native operations. Robinhood cut 10% of its workforce on June 16.
The broader U.S. technology sector has recorded more than 121,500 layoffs from over 200 companies in 2026, according to Layoffs.fyi, with AI-driven restructuring cited as a common factor across multiple industries.
