Bitwise Trims Workforce Amid 31% Drop in BITW Assets

CEO Hunter Horsley confirmed the staff reduction was finalized last week, describing the move as a strategic alignment intended to position the company for future expansion. Despite the headcount cut, the firm continues to prioritize its investment and staking businesses, including the integration of Chorus One, which was acquired in February to bolster institutional service offerings.

Market pressures have hit the firm’s product line, with the BITW index fund facing significant asset erosion. However, Bitwise has reported pockets of resilience elsewhere in its portfolio. In May, its Hyperliquid ETF saw a single-day inflow of $19 million, and by June, the firm’s XRP exchange-traded products across the U.S. and Europe had attracted over $200 million in total inflows.

Chief Investment Officer Matt Hougan maintains an optimistic outlook, suggesting that Bitcoin may have already bottomed despite recent volatility. Hougan pointed to the asset's resilience in the face of negative regulatory and liquidation headlines as evidence of market strength. He anticipates that large wealth management platforms will serve as the primary catalyst for the next cycle, even as the company joins a growing list of industry players—including BitGo, Coinbase, and Kraken—that have implemented staff reductions throughout 2026 to contend with current market conditions.