The cuts come as the crypto industry grapples with a prolonged downturn. After three consecutive quarters of declines, the total cryptocurrency market capitalization fell to around $2.1 trillion at the end of the second quarter, while trading volumes weakened and retail participation slowed amid higher interest rates, geopolitical uncertainty and persistent outflows from crypto exchange-traded fund (ETF).
U.S. spot bitcoin ETFs recorded a combined $6.9 billion of net outflows in May and June. While flows have recovered in July, including a six-day streak of inflows, the rebound remains modest relative to the withdrawals seen during the broader market downturn.
Uphold stressed that it is not closing its U.K. operations or any of its international offices, adding that all locations remain fully staffed and operational.
The firm’s enterprise platform enables banks, fintechs and broker-dealers to integrate digital asset services for their own customers, an area the company said is seeing rapid growth.
The momentum in that business, combined with weaker retail demand, made the restructuring necessary as it shifts personnel and investment toward enterprise products. Further growth announcements are expected in the coming months, the company said.
The firm remains bullish on the long-term outlook for the retail market. “In 2026, we’re expanding our popular consumer app into a multi-asset, blockchain-enabled financial companion,” McLoughlin said. “By year end, the app will offer US stocks, tokenized securities, asset-backed lending, credit cards, prediction markets and enhanced DeFi yield opportunities on assets including XRP,” he added.