TLDR
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BitGo Holdings stock falls as BTGO slips after 15% workforce cut
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BitGo cuts staff while shifting focus to core crypto infrastructure
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BTGO declines after BitGo outlines security and stablecoin priorities
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Crypto custodian BitGo joins sector layoffs as operating losses widen
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BitGo trims workforce after NYSE debut and deeper quarterly losses
BitGo Holdings (BTGO) shares fell after the crypto custodian announced a workforce reduction of nearly 15%. BTGO closed 4.76% lower at $4.80, then slipped another 1.46% before the market opened. The company linked the cuts to a narrower operating focus and changing financial technology needs.
BitGo Reduces Workforce After Public Listing
Chief Executive Mike Belshe announced the job cuts through a company message shared on social media. He said BitGo will focus resources on security, trading, stablecoins, settlement, and artificial intelligence infrastructure. Moreover, the company expects the restructuring to represent a single action rather than an extended reduction program.
BitGo employed about 566 full-time workers as of September 30, 2025, according to company disclosures. Therefore, a 15% reduction could affect approximately 85 positions across the crypto infrastructure provider. Management informed affected employees directly before releasing details about the restructuring to the public.
The company previously reduced its workforce by 12% during a wider reorganization in April 2020. However, the latest cuts follow BitGo’s January 2026 listing on the New York Stock Exchange. The public debut increased pressure on management to improve efficiency and strengthen returns from its core services.
Financial Results Add Pressure on BitGo Operations
BitGo reported $16.2 billion in revenue during 2025, representing more than fourfold annual growth. However, low-margin digital asset sales generated most of that revenue and limited overall profitability. Adjusted earnings before interest, taxes, depreciation, and amortization reached only $32.4 million.
The company also recorded a $14.8 million annual net loss after its Bitcoin treasury declined. Furthermore, first-quarter revenue increased 112.6% from one year earlier to approximately $3.8 billion. Still, quarterly net losses widened to $60.7 million from $25.7 million during the previous year.
Non-cash Bitcoin valuation changes and public listing compensation costs contributed to the deeper quarterly loss. Consequently, BitGo plans to direct more resources toward institutional products with stronger revenue potential. These areas include stablecoin services, tokenized assets, settlement systems, and regulated digital asset custody.
Crypto Companies Link Job Cuts to Technology Changes
BitGo joins several digital asset companies that reduced staffing levels during 2026. Coinbase cut about 700 jobs in May, representing approximately 14% of its workforce. The exchange connected its restructuring to automation, operating efficiency, and changes in internal development processes.
Crypto data provider Dune also reduced its workforce by about one-quarter during the same period. Meanwhile, MARA Holdings cut approximately 15% of its staff while expanding its computing infrastructure strategy. Block made similar reductions earlier in 2026 as technology companies reviewed costs and staffing needs.
BitGo continues to expand selected services despite the workforce reduction and wider operating losses. The company received a federal trust bank charter from the United States regulator in December. It also introduced a stablecoin minting platform in April as part of its institutional growth strategy.
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