FalconX Layoffs Cuts 10% Workforce, Drops Singapore License
Lakshya Divekar
FalconX LayOffs Cuts 10% of Its Workforce
In today's crypto news, FalconX has reportedly cut about 10% of its global workforce, according to Bloomberg.
The brokerage is bracing for what could be a longer downturn in crypto markets. It's not alone either. Several other companies in the space have made similar calls this year.
What Happened
Bloomberg's report says FalconX let go of roughly 10% of its people. Before the cuts, the firm had close to 350 employees worldwide, so that puts the number impacted at around 35.
The reductions weren't limited to one office. Staff in the US, the UK, Singapore, and Hong Kong were all affected in some form.
Some of those laid off were senior managers. Others worked in sales and accounting. FalconX itself hasn't confirmed exact figures publicly.
Here's how WuBlockchain summarized Bloomberg's report on FalconX's workforce reduction and strategic shift in Singapore: 
A Quick Look at FalconX
FalconX works as a prime brokerage in the crypto space, meaning it caters to institutions rather than everyday retail traders.
Think hedge funds, asset managers, and professional trading desks. Its services span trading, financing, and risk management.
The company was valued at $8 billion back in a 2022 funding round, and it picked up crypto ETF issuer 21Shares last year.
Singapore Sees the Biggest Hit
Nobody felt this more than the Singapore team. Nearly half of the staff there were let go, and the company is also rethinking how it operates in that market from a regulatory standpoint.
Change | Detail |
Staff impact | Roughly half of Singapore employees affected |
License plan | Withdrawing its MAS license application |
New focus | Shifting to crypto derivatives trading only |
Why | Derivatives trading doesn't require that license |
Regional presence | Still planning to stay active in Asia-Pacific |
FalconX set up shop in Singapore back in 2023, launching an OTC derivatives business aimed at Asia-Pacific clients. At the time, it was aiming for broader prime brokerage licenses. That ambition has now been scaled back.
Why Now?
CEO Raghu Yarlagadda had already hinted at restructuring back in July, pointing to a pivot toward tokenized capital markets. The current downturn seems to be accelerating those plans.
FalconX isn't the only name making these moves. A few others worth mentioning:
Coinbase has trimmed roles during past slowdowns.
Crypto.com cut jobs earlier under similar industry pressure.
Gemini has also reduced its headcount.
Luno recently let go of close to 20% of its staff.
Cost-cutting seems to be the theme across the board right now, not just at one company.
Where Does This Leave FalconX?
The firm says it still wants a presence across Asia-Pacific, but it's also planning to grow its regulated business in Europe. So this looks less like an exit and more like a redirection of resources.
As this crypto news continues to develop, FalconX hasn't put out a full public statement explaining the restructuring in detail. Whether that changes will likely depend on the company's own timeline.
Disclaimer: This article is for educational and informational purposes only and should not be considered financial or investment advice. Always conduct your own research before making investment decisions.
