On Tuesday, Coinbase revealed plans to eliminate 700 positions, which represents approximately 14% of its total workforce. This decision is part of the company’s strategy to integrate artificial intelligence into its operations in order to reduce expenses and enhance efficiency.
In a message to staff that was posted on social media, Brian Armstrong, the co-founder and CEO of Coinbase, explained that the cryptocurrency exchange is reorganizing its functions in light of ongoing fluctuations in the market.
“We have navigated these cyclical changes successfully in the past and have emerged stronger, but we are currently facing a downturn that necessitates adjustments to our cost structure,” Armstrong stated. He emphasized the need for Coinbase to emerge from this challenging period as a more streamlined and efficient organization poised for future growth.
Armstrong also indicated that Coinbase intends to reallocate certain roles towards managing AI-driven teams. The company is set to trial a model involving “one-person teams,” which would unify the responsibilities of engineers, designers, and product managers.
“This represents a new operational approach, and we must incorporate AI into all aspects of our work,” Armstrong added.
According to a regulatory filing, Coinbase employed nearly 5,000 individuals by the end of 2025. The layoffs are expected to be finalized by the second quarter of 2026, with the company anticipating restructuring costs ranging from $50 million to $60 million.
Coinbase joins a growing list of companies implementing job reductions related to AI. In February, Jack Dorsey announced that his fintech firm Block would slash its workforce by almost 50% as part of an initiative to enhance productivity through AI integration. Other companies that have referenced AI in their layoff statements include Chegg, CrowdStrike, and Pinterest.
Edited by Alain Sherter
