Bitwise Cuts 14% of Workforce as Assets Under Management Decline

Headcount and Asset Reduction

Bitwise Asset Management confirmed a 14% workforce reduction, cutting its global team from 180 to approximately 155 employees, CEO Hunter Horsley said in recent media reporting. The layoffs come as the crypto asset manager navigates a prolonged market downturn that has compressed assets across the sector.

The firm's flagship BITW index fund held $532.8 million in net assets at the end of June, down 48% from $1.03 billion at year-end, according to The Defiant. The gap between the year-end figure and the June decline suggests the pullback accelerated in the first half of the year as broader cryptocurrency valuations softened.

Broader Context for Asset Managers

Bitwise's contraction reflects pressure facing crypto-focused asset managers as retail and institutional inflows slowed following the 2021 bull cycle. Index-based products like BITW, which track baskets of digital assets, are particularly sensitive to both market sentiment and fee compression in a bear-trending environment. The firm has not disclosed total assets under management, though the decline in its flagship product signals headwinds across its product suite.