Kraken has cut approximately 150 jobs as it integrates more artificial intelligence into its business. According to Bloomberg, this shift could push back the company’s plans to go public in the U.S. until 2027.
Summary
- Kraken has reportedly laid off about 150 employees as AI tools take on a larger role across the exchange.
- Bloomberg said the latest cuts may push Kraken’s planned U.S. public listing into 2027.
- Coinbase, Gemini, and other crypto firms have also reduced staff this year while restructuring operations around AI use.
According to a Bloomberg report on Friday, recent layoffs at Payward, known as Kraken, were due to improvements in efficiency made possible by the company’s use of artificial intelligence. The source also stated that, for the time being, Kraken doesn’t plan any further layoffs, despite increasingly using AI tools throughout the organization.
Crypto companies are facing increasing challenges this year. Declining prices for cryptocurrencies, combined with the growing expense of automated systems, are forcing them to adjust their budgets. Companies that are publicly traded have already reported lower profits for the first three months of the year, following a slowdown in the crypto market towards the end of last year.
Kraken was initially aiming to become a publicly traded company in the U.S. this year, but recent changes may delay those plans until 2027, according to Bloomberg. The company had already begun the IPO process confidentially in November, but put it on hold in March due to the downturn in the cryptocurrency market.
Kraken secretly filed paperwork to become a publicly traded company, according to co-CEO Arjun Sethi, who revealed this at a recent industry event. However, he didn’t say when the company plans to go public.
An industry wide trend
Throughout 2026, the crypto industry has seen a growing number of layoffs connected to the increasing use of artificial intelligence. Reports indicate over 5,000 crypto jobs have been eliminated this year, as companies cite automation and reorganization as key reasons.
Coinbase recently announced it’s cutting around 14% of its staff to become a more efficient, quicker company focused on artificial intelligence. CEO Brian Armstrong explained in a memo that AI is helping their engineers finish projects much faster – in days instead of weeks – and is even allowing non-technical employees to contribute to the final product using automated systems.
As part of a reorganization, Coinbase plans to streamline its management structure by reducing the number of management layers to a maximum of five below the CEO and COO. They will also be experimenting with smaller teams focused on artificial intelligence to improve operations.
Several other cryptocurrency exchanges have announced significant cuts this year. In February, Gemini revealed plans to reduce its workforce by around 200 people and close its services in the UK, EU, and Australia. They attributed this to increasing financial losses, costs related to a planned initial public offering (IPO), and the overall downturn in the crypto market following Bitcoin‘s fall from over $70,000.
This week, Dune, a company that provides data and insights about cryptocurrency, announced it was reducing its workforce by 25% to concentrate on its most important offerings.
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2026-05-18 11:50