Binance Cuts Over 1,000 Jobs
Binance, the largest cryptocurrency exchange globally, has reportedly undergone a round of layoffs following a series of executive departures. The job cuts, as reported by the Wall Street Journal, have affected over 1,000 employees in recent weeks. These developments come amid regulatory scrutiny in the United States, where authorities have been taking a stricter stance against activities they consider unlawful within the industry
Binance CEO Changpeng Zhao addressed the recent reports of layoffs, stating that involuntary terminations occur as part of the company's ongoing efforts to enhance talent density. He mentioned that the numbers reported by the media are inaccurate and clarified that Binance is actively hiring. Additionally, Binance and Zhao are facing a lawsuit from the Securities and Exchange Commission (SEC) accusing them of operating deceitfully, to which Binance has expressed its intent to vigorously defend itself.
According to a spokesperson from Binance, the company has experienced significant growth over the past six years, expanding its team from 30 individuals to nearly 8,000 worldwide. In anticipation of the upcoming major bull cycle in the cryptocurrency market, Binance recognizes the importance of maintaining a high concentration of talent throughout the organization. This strategic emphasis on talent density aims to foster agility and adaptability within the company.
Reference
Shekhawat, J. (2023a) Binance lays off employees days after Executive Exodus, Reuters. Available at: https://www.reuters.com/technology/binance-lays-off-over-1000-employees-wsj-2023-07-14/ (Accessed: 16 July 2023).