The AI whirlwind from Silicon Valley is also sweeping into the cryptocurrency industry. Recently, a certain major cryptocurrency exchange announced that it would carry out a workforce reduction of about 14%, corresponding to roughly 700 employees. The company said this is part of an organizational restructuring to keep up with the rapid evolution of AI technology.

According to documents filed with regulators, this round of layoffs is expected to cost about $50 million to $60 million in severance payments and related expenses. What’s interesting is that the company’s CEO commented that “AI is fundamentally changing how companies operate.” In his statement, he said the company needs to rebuild itself into a leaner, faster AI-native organization.

Looking at the details of the organizational restructuring, the company is planning to set up a small team to manage AI agents (digital bots) that can handle programming work, and it also expects to significantly reduce management layers. This suggests a shift in the business model itself rather than just a cost-cutting measure.

However, the reasons for the layoffs are not AI alone. Continued volatility in the cryptocurrency market is also cited as an important factor. The company is currently in a bearish market and has judged that it needs to adjust its cost structure immediately. In fact, the revenue of cryptocurrency exchanges depends heavily on market price fluctuations and trading volume, and when the market is in a downturn, profitability is severely pressured. The company’s CEO emphasized that this action is a proactive measure rather than a reactive one—aimed at rationalizing the organization by taking advantage of the market slump and preparing for the next economic cycle.

This move aligns with a broader trend across the technology industry. In February, fintech companies cut about 40% of their employees, and Meta also announced a reduction of about 10% in personnel and the closure of 6,000 job openings. Microsoft is also offering an early retirement program. The common logic is that improvements in AI’s code-generation capabilities are having a direct impact on software engineers.

The same wave is also happening in the cryptocurrency industry. It would be worth keeping an eye on the stock performance of a certain major exchange as well. To what extent will adopting AI technology improve operational efficiency, and what kind of competitiveness will it bring when the market recovers? The next economic cycle could become a litmus test for whether these organizational restructurings succeed or fail.