Coinbase (COIN) is trading higher after the company announced a significant corporate restructuring, including a reduction of its workforce by approximately 14%.
- In a memo to employees, CEO Brian Armstrong stated the company is rebuilding to be “lean, fast, and AI-native,” which involves cutting about 700 jobs to improve operational efficiency.
- Investors have reacted positively to the news, viewing the cost-cutting measures and strategic pivot toward artificial intelligence as a positive step for long-term growth and profitability.
- The move comes after the company reported weaker-than-expected Q1 earnings on May 7 and also received a price target cut from H.C. Wainwright today.