Block to Lay Off Hundreds During Restructuring as Tether Expands Its Workforce

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TLDR

  • Block could reduce its workforce by up to 10% as part of annual performance assessments concluding in late February.
  • This marks Block’s third major round of layoffs, following cuts in 2024 and 2025.
  • Tether intends to add 150 new employees, expanding its team from 300 amid global growth.
  • Tether is investing in AI, energy, communications, and has backed platforms such as Rumble.
  • Block’s shares have fallen 37% over the past year; Tether’s USDT market cap has climbed to $185 billion.

Block Inc.—led by Jack Dorsey and known for services including Cash App, Square, and Afterpay—is preparing to cut up to 10% of its workforce. The reductions are part of a broader restructuring strategy that will continue through February. Meanwhile, Tether—the company behind the USDT stablecoin—is expanding its team and global reach, directing profits into strategic investments and recruitment.

Block Plans Additional Layoffs Amid Ongoing Restructuring

Bloomberg reports Block is set to inform hundreds of employees about job cuts as part of annual performance reviews. The process will impact staff across various departments and run through the end of February.

This is Block’s third round of job cuts in two years. In January 2024, roughly 1,000 employees were laid off. Another 931 left in March 2025. These steps follow ongoing restructuring efforts that began in 2024, including the integration of Cash App and Square and a shift toward Bitcoin mining.

Block also lessened its focus on platforms like Tidal and shut down its TBD division, while investing in Goose—an in-house AI tool designed to boost efficiency.

Mixed Financial Results and Market Reaction

Block’s recent financial performance has been uneven. While the second quarter of 2025 saw a 14% jump in gross profit, third-quarter results missed analyst expectations. Revenue reached $6.11 billion versus a projected $6.34 billion, and adjusted earnings per share came in at $0.54—falling short of the $0.63 forecast.

The market reacted with a 10% drop in Block’s share price during after-hours trading. Over the past year, Block’s shares have declined by about 37%, and 13% since January 2026. The stock closed Friday’s session at $55.97, a 4.85% increase.

Investors will watch closely for the report on February 26, which may offer more clarity on the cost-reduction strategy and its impact on profitability.

Tether Expands Workforce and Global Operations

While Block cuts jobs, Tether is growing. The stablecoin issuer recently hit 300 employees and plans to hire another 150 over the next 18 months. These new hires will include developers, regulatory specialists, and AI-focused roles in regions like Italy, the UAE, Ghana, and Brazil.

Tether is also ramping up investments in sectors such as robotics, artificial intelligence, and energy. The company has backed projects including satellite communications and video hosting platform Rumble, which recently added crypto wallet functionality.

At a recent conference, the CEO showcased Tether’s “freedom technology stack,” which aims to combine financial tools, AI, and infrastructure development.

Global Strategy and Competition in Stablecoin Market

Tether continues to compete with firms like Circle while facing growing regulatory scrutiny. It has responded by expanding into jurisdictions like the Abu Dhabi Global Market, where digital asset regulation is evolving.

The company invested $150 million in Gold.com and another $100 million in Anchorage Digital to strengthen its asset backing and links to regulated infrastructure. Tether’s USDT market capitalization grew from $140 billion to $185 billion over the past year.

As U.S. firms like Block scale back, Tether is using its financial gains to expand into new sectors and build a broader global footprint.