Crypto exchange Luno is reducing its global workforce by approximately 20%, according to CEO James Lanigan. The company cited significant investments in automation and operational improvements as the primary drivers for the restructuring, enabling a leaner operational model.
The layoffs at Luno reflect ongoing consolidation and efficiency drives within the cryptocurrency sector, as companies seek to optimize operations and focus on more stable revenue streams amidst volatile retail trading.
Crypto exchange Luno is implementing a global staff reduction of approximately 20%, as announced by CEO James Lanigan. Lanigan attributed the cuts to substantial investments in automation and operational enhancements over the past year, which have altered the company's resource requirements and led to a leaner structure. Luno, owned by Digital Currency Group and based in London, serves 16 million users across Africa and the Asia-Pacific region.
This marks Luno's second major layoff, following a 35% reduction in January 2023 due to challenging crypto market conditions. The current restructuring aims to bolster Luno's business-to-business operations, allowing partners like lenders, fintechs, and telecoms firms to offer cryptocurrency services under their own brands, with Luno providing the underlying liquidity, wallet infrastructure, and compliance. The company is also targeting a position in non-U.S. stablecoins for emerging markets, planning to replicate a rand-backed stablecoin model in other regions with limited local-currency infrastructure.
Luno's move aligns with a broader trend of consolidation and workforce adjustments within the cryptocurrency industry. Several other crypto firms, including Crypto.com, Coinbase, Dune Analytics, and BitGo, have also recently reduced their staff, often citing pivots towards AI-powered infrastructure or a general industry-wide consolidation.