Digital asset trading platform Uphold cuts 17% of global headcount as crypto winter bites
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Uphold, a New York-based digital asset trading platform, announced a reduction of approximately 17% of its global workforce, affecting 85 individuals including permanent staff and contractors. This move is driven by a strategic shift to focus more on its enterprise business, which serves banks, fintechs, and broker-dealers, as retail cryptocurrency trading activity declines amid the ongoing crypto market downturn. Despite the layoffs, Uphold emphasized that it is not closing any offices, including its U.K. and international locations, and all remain fully operational.
The workforce reduction comes as the digital asset industry faces prolonged challenges, with the total cryptocurrency market capitalization falling to about $2.1 trillion by the end of Q2 2026. Factors contributing to this downturn include higher interest rates, geopolitical uncertainties, and significant outflows from crypto exchange-traded funds, which saw a combined net outflow of $6.9 billion in May and June. Although there has been a modest recovery in flows during July, the broader market conditions continue to weigh on retail participation and trading volumes.
Uphold continues to express confidence in the growth prospects of digital assets and blockchain technology. The company has been gradually expanding its offerings beyond its consumer trading app to provide enterprise infrastructure that integrates crypto trading and custody services for institutional clients. CEO Simon McLoughlin noted that while retail trading has softened, demand from institutional entities remains robust, prompting the reallocation of resources toward enterprise services.
Looking ahead, Uphold plans to expand its consumer app into a multi-asset, blockchain-enabled financial platform by the end of 2026. Upcoming features will reportedly include U.S. stocks, tokenized securities, asset-backed lending, credit cards, prediction markets, and enhanced decentralized finance yield opportunities on assets such as XRP. The firm anticipates further growth announcements in the near future, reflecting its long-term bullish stance on the retail crypto market despite current challenges.