Kraken Cuts 150 Staff, Citing Rising AI Use

Crypto exchange Kraken has reportedly laid off some of its staff as a cost-cutting measure, which could delay its planned initial public offering in the US until next year.

The company, whose corporate name is Payward, laid off about 150 workers due to efficiencies from deploying artificial intelligence across the business, Bloomberg reported on Friday, citing a person familiar with the matter.

The person said AI is being used more extensively throughout Kraken, but the company is not planning further job cuts at the moment.

Crypto-related companies have cut more than 5,000 jobs so far this year, with many citing increased efficiencies from AI as a reason for the layoffs. Block Inc. undertook the biggest round of layoffs by a crypto company so far in 2026, cutting 4,000 staff or about half its workforce in February in an AI-driven cutback.

A decline in crypto prices since late last year has also stung public crypto companies’ balance sheets, with many reporting losses in their first-quarter earnings.

Kraken’s cuts have reportedly pushed back its plan to go public sometime this year, with the company now eyeing a debut in the US in 2027.

Cointelegraph reached out to Kraken but did not receive an immediate response.

Kraken’s plans to go public have been on and off for months. In November, the company confidentially filed with US regulators to go public before pausing its IPO in March due to a declining crypto market.

Kraken co-CEO Arjun Sethi reiterated Kraken’s confidential IPO filing last month when he was asked onstage at a conference whether there were plans to take the company public soon, but he did not share a timeline.

Source: Semafor

Related: How AI became crypto’s favorite reason to cut staff

The layoffs at Kraken come in the same week that crypto data company Dune said it laid off 25% of its workforce, citing a need to restructure its business and focus on its core products.

Coinbase cut 700 employees, or about 14% of its workforce, earlier this month, on May 5, citing an increase in AI use. 

Rival crypto exchanges Gemini and Crypto.com also laid off 200 and about 180 employees, respectively, earlier this year, both citing the rising use of AI.

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