Anchorage Digital cuts 17% of workforce despite recent Tether funding

The reduction impacts approximately 68 positions, based on the company’s global headcount of 400 employees reported earlier this year. This downsizing follows a period of significant capital infusion and institutional expansion for the firm, which reached a $4.2 billion valuation in early 2026. The investment from Tether was intended to bolster custody and stablecoin issuance services, specifically supporting the USAT stablecoin.

Despite the influx of capital and recent partnerships with infrastructure providers like LayerZero, the firm remains susceptible to broader market volatility. While Bitcoin has shown signs of recovery, reaching above $87,000 recently, it continues to trade well below its October 2025 peak. Anchorage Digital, which operates as a national trust bank under the supervision of the Office of the Comptroller of the Currency, has recently diversified its offerings to include tokenized commodities, such as uranium, to attract institutional clients. The layoffs suggest that even firms with significant regulatory standing and venture backing are not immune to the cooling demand currently felt across the digital asset sector.