The downsizing began in December 2025 with at least five roles eliminated before the February cuts, which impacted eight additional employees, according to former staff. Co-founder and Chief Technology Officer Moore Dagogo Hart described the restructuring as targeted rather than company-wide. “Zap Africa intentionally moved from 18 to 10 as part of an AI-driven efficiency shift,” he said. “What occurred was a targeted internal restructuring as part of our ongoing effort to improve operational efficiency and align the team with our current product and growth priorities.”
Automation at the Core
Central to the workforce reduction is Martha AI, a product developed by Dagogo-Hart’s other company, Cognito Systems. The AI tool has been integrated into Zap Africa’s customer support workflow to handle first-line enquiries, reducing the need for human agents in certain roles. Former employees confirmed that the automation made some positions redundant, particularly in non-core functions.
Dagogo Hart emphasized that only non-essential design, operations, and support roles were affected. The startup will continue to operate with 10 employees across product, engineering, finance, legal, operations, and growth. “Affected employees were provided with severance support in line with their tenure and contractual terms,” he said. “There have been no pauses to our core products. Development of our wallet and exchange continues as planned. Zap Africa remains operationally stable, with sufficient capital and revenue to continue executing our roadmap.”
Market Pressures and Operational Risks
The layoffs come amid a prolonged crypto bear market, which has prompted startups worldwide to cut costs or shift focus to survive. For Zap Africa, over-the-counter (OTC) transactions have become a more important revenue source as retail trading activity declined, reflecting broader market trends.
The startup, launched in 2023, raised $300,000 in pre-seed funding in 2024 to expand product development. In 2025, Dagogo-Hart said the platform processed over $17 million in crypto transactions and generated up to $100,000 in monthly revenue, with weekly trading averaging roughly $500,000. This implies a take rate of about 5%, nearly double the industry standard.
However, trading activity has slowed in recent months, as crypto markets shed around $2 trillion in value since October 2025. Operational challenges, including a double-counted deposit in May 2024 and a fraudulent crypto transfer resulting in a $5,000 loss in February 2025, have also added pressure on the young startup.
Public Profile vs. Internal Strain
Zap Africa has enjoyed heightened visibility in recent years. In 2025, the company was involved in a trademark dispute with Paystack over the use of the name “Zap,” drawing significant social media attention. Shortly after, the startup increased its public profile by hosting Builders Summit, a startup community event, and ramping up media appearances. The contrast between outward momentum and internal operational strain became increasingly evident, highlighting the challenges of managing a fast-growing crypto platform in a volatile market.
A Leaner, Tech-Forward Future
The February restructuring marks a strategic inflection point for Zap Africa. By embracing AI and automation while reducing non-essential staff, the startup aims to remain financially sustainable and operationally efficient amid market volatility. While revenue pressures and market downturns expose structural vulnerabilities in crypto startups, Zap Africa says it remains focused on building non-custodial financial infrastructure, seeking to balance ambition with prudent cost management in a high-risk sector.