Bitwise Cuts Staff Amid Market Decline, Sees Future Growth

Bitwise Asset Management has cut its staff by 14%, reducing the number of employees to around 155. The decision was made due to the prolonged decline in the market, with the firm's flagship fund, Bitwise 10 Crypto Index (BITW), experiencing a 31% drop in net assets since the start of 2026.

Despite this reduction, the company continues to expand, having recently acquired Chorus One, a provider of staking services. According to Hunter Horsley, CEO of Bitwise, streamlining operations will enable the firm to grow as it integrates cryptocurrencies into the global economy.

This is not an isolated incident, with other prominent companies such as Polygon Labs, BitGo, and Coinbase also undergoing staff cuts in response to market stagnation and the increasing use of AI. However, Matthew Hougan, Director of Investments at Bitwise, remains optimistic, citing Bitcoin's resilience to negative news and predicting that platforms for capital management will drive future growth.