Crypto.com cuts 12% jobs, says AI shift is no longer optional

Layoffs

• Crypto.com cuts 12% of staff to focus on AI-led operations
• AI-driven layoffs also seen at Block, Meta, and Atlassian
• Entry-level hiring slows as AI replaces routine work

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Crypto.com is the latest company to tie job cuts directly to artificial intelligence.

The firm announced it is laying off around 12% of its workforce as it restructures around AI-led operations. CEO Kris Marszalek didn’t soften the message, saying companies that fail to adopt AI quickly “will fail.”

According to the company, the cuts are targeted at roles that don’t align with its new direction. While exact numbers haven’t been disclosed, affected employees have already been notified.

This isn’t happening in isolation. Across industries, companies are using AI both as a growth driver and a justification for leaner teams.

At Block, CEO Jack Dorsey recently laid off more than 4,000 employees, arguing that AI tools allow smaller teams to operate more effectively. The logic is straightforward: fewer people, more automation, higher output.

Something similar is playing out at Meta, where reports suggest further layoffs could impact up to 20% of staff as the company continues pouring billions into AI infrastructure. Meanwhile, Atlassian has cut about 10% of its workforce, explicitly stating that the move will help fund deeper AI investments.

Even beyond layoffs, the ripple effects are becoming visible. Entry-level hiring is slowing, and executives are starting to say the quiet part out loud. Bill McDermott recently warned that unemployment among new graduates could spike as AI agents take over more routine work.

Crypto.com itself has been here before. Back in 2023, the company cut 20% of its workforce following the collapse of FTX. This time, the trigger isn’t a market crash—it’s a structural shift.

Marszalek has been leaning into that shift aggressively. Earlier this year, he reportedly spent $70 million to acquire the AI.com domain, signalling how central AI is becoming to the company’s future plans.

The broader takeaway is getting harder to ignore. AI isn’t just adding new capabilities—it’s reshaping how companies are built and staffed. And for many businesses, that now includes doing more with fewer people.