Robinhood Markets Inc. (HOOD) said Tuesday it is cutting about 10% of its workforce, a move the crypto and stock trading platform framed as a restructuring to flatten management layers and accelerate product velocity.
“We must be a lean, hyper-focused team where every single individual is empowered to make a massive impact,” CEO Vlad Tenev told employees in a note, according to an X post. “Our execution is strong today, but our ambitions require us to continuously raise our own bar.”
Tenev said the workforce reduction is being executed proactively, with the company noting that it remains in a position of business strength and intends to continue hiring strategically in priority areas.
According to an 8-K filing with the Securities and Exchange Commission, Robinhood estimates it will incur $20 million in cash severance and benefits costs and $8 million in share-based compensation charges, expected to be recognized in Q2 2026.
The restructuring comes amid an earlier contraction in the company's digital asset business segment. In April, Robinhood missed expectations for first-quarter profit as crypto-driven market volatility weighed on trading activity.
