Cryptocurrency exchange Crypto.com is reducing its workforce by 12% as part of its push to integrate artificial intelligence across the company.

Chief Executive Officer Kris Marszalek announced the staff reductions, stating they target roles that "are no longer aligned with the company's new strategic direction." He explained that the organizational changes are intended to position the company for sustained future success.

A spokesperson for Crypto.com confirmed that all affected employees have been notified, though the exact number of positions eliminated was not disclosed.

This move by the crypto platform reflects a broader corporate trend where companies are implementing significant layoffs, attributing the cuts to a strategic shift towards AI adoption.

Last month, payments technology firm Block announced it was cutting over 4,000 jobs, nearly half of its workforce. CEO Jack Dorsey stated the core idea is that intelligent tools are reshaping how companies are built and operated, allowing smaller teams to achieve more.

Earlier this week, reports indicated that Meta is planning layoffs that could affect up to 20% of its staff. This is seen as a measure to help offset substantial investments in AI infrastructure and to prepare for anticipated efficiency gains from AI-assisted work.

Similarly, Sydney-based software company Atlassian announced a 10% reduction in its workforce, approximately 1,600 jobs, last week. CEO Mike Cannon-Brookes said the cuts will help self-fund further investments in AI and enterprise sales while improving the company's financial position. The company's market value has declined significantly this year, partly due to pressure on software stocks from the rise of AI tools.

The increasing adoption of AI is also contributing to a hiring slowdown, creating challenges for entry-level employees. The CEO of ServiceNow recently suggested that unemployment rates for new college graduates could easily exceed 35% in the coming years, as many tasks will be handled by intelligent agents.

In a related development, it was reported that Kris Marszalek purchased the AI.com domain for $70 million in February, a record for a publicly disclosed domain sale. The company also aired a 30-second advertisement during the Super Bowl this year to promote the launch of its AI agent product.

Crypto.com, which is headquartered in Singapore with offices in the United States and other locations, previously cut 20% of its global workforce in 2023, citing a need for disciplined financial management following the collapse of cryptocurrency firm FTX.