FalconX cuts about 10% of staff, refocuses Singapore unit

FalconX reduced its global headcount by about 10% as it adjusts to weaker conditions in the cryptocurrency market. The company employed roughly 350 people before the cuts, which affect about three dozen roles across the United States, the United Kingdom, Singapore and Hong Kong.

The firm plans to withdraw its application for a licence with the Monetary Authority of Singapore and redeploy its Singapore team to support crypto derivatives products rather than pursue full regulatory approval there. FalconX will maintain an operational presence in Asia while increasing its focus on expanding business in Europe.

FalconX acquired crypto exchange-traded fund issuer 21Shares in November and has been reallocating resources since the purchase. Company representatives did not respond to requests for comment.

Trading volumes and retail participation in crypto markets have declined from levels seen last year. Bitcoin recently traded below $64,000, roughly 50% lower than its October peak above $126,000. Market participants expect continued pressure on revenues while volumes remain softer.

Across the industry, several trading platforms and infrastructure providers have reduced staff or restructured operations in response to lower activity. Firms are also broadening product offerings beyond spot trading to include derivatives, tokenized assets and other traditional financial products built on crypto rails.

A recent market report found that the crypto TradFi segment, covering tokenized assets and derivatives, grew about fivefold to $6.6 billion between January 2025 and June 2026, with tokenized stocks and commodities among the largest contributors.

Public company earnings have shown growth in non-spot businesses. One major exchange reported that a large majority of its second-quarter net revenue came from activities other than spot Bitcoin trading, naming derivatives, prediction markets and tokenized assets as growing revenue sources.

FalconX’s workforce reduction is among a series of capacity adjustments in the sector as firms respond to lower trading volumes and seek new revenue streams. The company’s decision to scale back pursuit of full licensing in Singapore reflects its choice to concentrate operational effort on products where it expects nearer-term demand, particularly derivatives, while pursuing growth in Europe.