Trading platform Uphold has cut 85 employees. The layoffs affect 17% of its global workforce, including both permanent staff and contractors across various regions.
The decision comes in response to sluggish crypto trading activity among retail investors. Uphold CEO Simon McLoughlin described the move as a recalibration process. Over the past few years, Uphold experienced rapid growth, at one point doubling its headcount.
Now, company resources are being redirected toward enterprise operations. In contrast to the declining retail segment, these institutional services are growing rapidly. Through its enterprise platform, Uphold provides infrastructure for banks, fintech firms, and broker-dealers to integrate crypto trading and custody services into their systems.
Despite the workforce reductions, McLoughlin expressed confidence in the industry, noting that the current slowdown does not change the company’s outlook on the future of digital assets and blockchain technology.
Why Has Retail Trading Weakened?
Uphold’s strategic shift comes amid broader market gloom. Total cryptocurrency market capitalization dropped to $2.1 trillion by the end of the second quarter of 2026, marking three consecutive quarters of decline.
Trading volume across the market has thinned out. Retail investor participation has slowed due to elevated benchmark interest rates and geopolitical uncertainty. At the same time, interest from major institutional players has also waned.
Spot Bitcoin ETF products in the United States recorded combined net outflows of $6.9 billion throughout May and June 2026. These large-scale capital withdrawals put significant pressure on market liquidity.
July began showing signs of recovery, with Bitcoin ETF inflows turning positive again, including a six-day streak. However, these fresh capital flows remain modest compared to the massive outflows seen during the preceding downturn.
More Than Just Crypto
Founded in 2015, New York-based Uphold is known for its multi-asset single-account service. Users can buy, sell, and store cryptocurrencies, fiat currencies, equities, and precious metals without leaving the platform.
The company emphasized that these efficiency measures will not result in operational closures. It will not shutter its UK branch or other international offices, and product expansion plans for 2026 remain on track.
Uphold’s consumer app is currently being developed into a comprehensive financial companion. Planned new products include US equities, tokenized securities, asset-backed loans, credit cards, and prediction markets. The team is also developing decentralized finance (DeFi) yield features, including integrations with the XRP network.
Uphold’s primary task now is delivering this extensive product roadmap with a leaner team. For users, these upcoming features will test whether the platform can maintain its appeal in the absence of a crypto bull market.
Reported by CoinDesk.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
