Jack Dorsey’s financial technology company Block announced a 40% reduction in its workforce, citing the transformative impact of artificial intelligence. The cuts will reduce headcount from 10,200 to just under 6,000, with the company expecting $450 million to $500 million in restructuring charges. This announcement follows the company’s Q4 2025 earnings report and comes amid a broader market decline in major cryptocurrencies, with Bitcoin trading around $66,000. Other notable news includes a post-quantum security roadmap from Ethereum’s Vitalik Buterin and allegations of insider trading at Axiom Exchange.
Block CEO Jack Dorsey announced a dramatic 40% staff reduction following the company’s Q4 2025 earnings. Dorsey stated the cuts are due to AI’s impact, arguing a smaller team using advanced tools can achieve more.
Dorsey posted on X that intelligence tools have fundamentally changed company operations. He chose to implement the layoffs immediately rather than gradually over time.
“I don’t think we’re early to this realization. I think most companies are late,” Dorsey said. He expects most companies will reach similar conclusions about structural changes within a year.
Block’s stock jumped 23% in after-hours trading on the news. The company anticipates restructuring charges between $450 million and $500 million, primarily in Q1.
Meanwhile, major cryptocurrencies fell as geopolitical concerns mounted. Bitcoin dropped 3% to approximately $66,000, while Ethereum fell 5% to around $1,960.
In other developments, Ethereum co-founder Vitalik Buterin published a roadmap targeting post-quantum security for four vulnerable protocol layers. The plan addresses validator signatures, data availability commitments, wallet signatures, and ZK proof systems.
Blockchain investigator ZachXBT exposed an Axiom Exchange employee named Broox Bauer for allegedly front-running trades using internal data. The employee reportedly mapped influencer wallets to gain an advantage in memecoin trading since early 2025.
NFT marketplace Magic Eden is expected to sunset its Bitcoin and EVM marketplaces, impacting Ordinals and Runes. The company will also discontinue its cryptocurrency wallet.
