Briefly
Robinhood is letting go of 10% of its staff, CEO and co-founder Vlad Tenev instructed the corporate Tuesday.
In April, the corporate indicated income from crypto transactions had fallen 34% sequentially to $134 million from $221 million.
On the finish of final 12 months, the retail brokerage had round 2,900 full-time staff.
Robinhood disclosed on Tuesday that it’s letting go of 10% of its staff, trying to streamline operations amid a extreme downturn in crypto-related income.
The corporate is decreasing its headcount alongside efforts to flatten its organizational construction and help “a lean, hyper-focused workforce,” CEO Vlad Tenev instructed staff, in response to an inside message shared by the retail brokerage on X earlier than the opening bell.
“We can’t default to working as a heavily-layered group,” he stated. “Our execution is robust right this moment, however our ambitions require us to repeatedly increase our personal bar.”
When Robinhood disclosed first-quarter earnings in April, the corporate posted its smallest quarterly revenue in a 12 months. On the identical time, the corporate indicated income from crypto transactions had fallen 34% sequentially to $134 million from $221 million.
The efficiency highlighted the corporate’s lingering publicity to crypto merchants who’ve grown much less engaged amid tepid market circumstances. Nonetheless, Tenev described the agency’s cuts as proactive, saying, “Robinhood’s enterprise has by no means been stronger.”
Robinhood’s inventory worth fell 1% to $97 on Tuesday, in response to Yahoo Finance. Whereas shares soared to an all-time excessive of $153 final 12 months—peaking across the time that Bitcoin hit an all-time excessive above $126,000 in October—they’ve slid roughly 12% year-to-date.
In an SEC submitting that accompanied its 2025 annual report, Robinhood stated it had round 2,900 full-time staff, whereas highlighting its “lean organizational construction.”
It’s unclear how the cuts may have an effect on Robinhood’s growth on crypto-facing merchandise, together with inventory tokens accessible to prospects in Europe, in addition to Robinhood Chain, the agency’s Arbitrum-based Ethereum layer-2 scaling community.
A Robinhood spokesperson referred Decrypt to Tenev’s assertion.
In a separate submitting on Tuesday, the agency stated it anticipated to incur $28 million in restructuring prices that mirrored worker severances, advantages, and share-based compensation.
“The corporate is taking this motion from a place of enterprise power,” the agency added, saying that “June month-to-date common day by day buying and selling volumes [were] at file ranges throughout equities, choices, and prediction markets.”
This 12 months, a number of crypto companies have slashed headcounts amid a sustained drop in crypto costs sometimes called crypto winter. In March, for instance, Crypto.com let go of 280 staff, or 12% of its workforce, signaling a shift towards AI-driven operations. A month earlier, Jack Dorsey’s Block stated it might reduce greater than 4,000 jobs, over 40% of its workforce.
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