Several mainstream media outlets recently reported that Binance, the world’s largest cryptocurrency exchange, has or will have to lay off thousands of employees in the wake of its legal battle with US regulators.
The executive director of the company confirmed the layoffs, but disagreed with the number reported by the “FUD” of laid off employees.
CNBC, WSJ Reports
Citing a person familiar with the matter, the Wall Street Journal claimed on Friday that Binance had already laid off more than 1,000 people as it prepares for a lengthy and costly legal battle with US regulators.
Former workers at the company stated that there will be more layoffs in the coming weeks, with the customer service team being the most affected.
“As we prepare for the next big bull cycle, it has become clear that we need to focus on talent density across the organization to ensure we remain agile and dynamic. This is not a case of downsizing, but rather, reassessing whether we have the right talent and experience in critical roles,” a Binance spokesperson commented.
CNBC went a step further, stating that general outages within the exchange could reach 3,000, which is almost half of the company’s reported employees.
The news outlet’s source noted that the DOJ battle could change Binance “fundamentally,” as if the company decides to settle, it could cost it billions of dollars.
CZ confirms but not everything
Changpeng Zhao, the CEO of Binance, started this year with a message to all his followers that they should learn to ignore much of the FUD coming from the mainstream media. In the next seven months or so, he had to use that phrase quite a bit.
When it came to the reports of layoffs, CZ actually confirmed that his company had to take such actions, which he referred to as “involuntary terminations.” However, he said that Binance is doing it as he fights for “talent density.”
In addition, CZ disagreed with the mentioned number of laid off employees.
As we continually strive to increase talent density, involuntary layoffs do occur. This happens in all companies. The numbers reported by the media are far off. 4 FUD.
On the bright side, they just can’t resist talking about us.
We are still hiring. 🤝
— CZ 🔶 Binance (@cz_binance) July 14, 2023
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This post CZ Admits Involuntary Terminations Within Binance But Disagrees With Reported Numbers
was published first on https://cryptopotato.com/cz-admits-to-involuntary-terminations-within-binance-but-disagrees-with-reported-numbers/