Crypto Exchange Luno to Cut About 20% of Global Workforce, Bolster Institutional and Stablecoin Businesses

Crypto exchange Luno plans to cut about 20% of its global workforce as it moves to lower costs amid weak retail trading and strengthen its institutional business and stablecoin infrastructure.

Bloomberg reported on July 28 that Chief Executive Officer James Lanigan said the restructuring would help expand Luno's business-to-business operations while reducing costs to reflect current market conditions. He did not disclose the number of jobs affected.

Lanigan said the company made significant investments last year in automation and operational efficiency, and that the staffing structure needed to run the business is changing rapidly. Luno needs a leaner, revamped organization, he added.

Through the restructuring, Luno plans to bolster services for institutional investors, core infrastructure and regulatory compliance capabilities, while continuing to invest in products for retail customers.

Luno has about 16 million users across Africa and the Asia-Pacific region. More recently, it has expanded a business that provides liquidity, wallets and compliance infrastructure to banks, fintech firms and telecom operators so they can offer crypto services under their own brands.

The company is also stepping up its local-currency stablecoin push. Luno is a founding participant in ZARU, a South African rand-pegged stablecoin, and plans to apply the same model to other emerging markets that lack local-currency stablecoin infrastructure.

Bloomberg said crypto exchanges are increasingly seeking steadier revenue streams from institutional clients, payments and financial infrastructure as retail trading remains volatile.