According to today’s allegations, Binance is evaluating to reduce the number of staff. However, the crypto exchange has not confirmed that this is exactly the case. On the contrary, the CEO of the exchange, Changpeng Zhao, put the FUD tag on this rumor.
Will the giant stock market reduce the number of personnel?
Binance said it was “re-evaluating” its staff numbers. However, he did not confirm whether he was cutting staff following rumors on Twitter that the world’s largest crypto exchange was laying off employees. According to a news source, Binance said it needed to “focus on talent density” and “re-evaluate” whether it has “the right talent and expertise in critical roles” rather than “having the rights”. Binance added that it will “try to fill hundreds of open roles.”
Journalist Colin Wu’s Wu Blockchain newsletter said on Twitter that “multiple sources” have confirmed that Binance is already laying off staff. “The layoffs could be related to the general market weakness and the previous major expansion,” Wu said in a tweet. He also added that next month the exchange may lay off 20% of the staff.
SCOOP: According to multiple sources who confirmed to WuBlockchain, Binance has started layoffs, and the proportion is still uncertain.
The total number of Binance employees is about 8,000, market rumors that the proportion of layoffs in June was about 20%. As of press time,…
— Wu Blockchain (@WuBlockchain) May 31, 2023
However, Binance’s Chief Communications Officer Patrick Hillmann noted in a tweet that the exchange “did not remove 20% of employees as a cost-cutting measure.”
Let me provide some additional clarity via 🧵.
Binance is not cutting 20% of employees as a cost-cutting measure. @binance experienced true exponential growth these past 5 years — and grew its staff accordingly. This was a historic operational challenge to overcome. https://t.co/Awmh8PdT8j
— Patrick Hillmann (@PRHillmann) May 31, 2023
Binance CEO CZ: These rumors are just another FUD
After these rumors, the CEO of the exchange, Changpeng Zhao (CZ), broke his silence. Binance CEO spoke about the news of the layoffs on the crypto exchange. CZ mentioned that the company has a “bottom-bottom” program. In this context, CZ gave a small example of Working from Home (WFH). CZ treated the layoff rumor as yet another FUD. Accordingly, he tagged it with “4” as he always does.
4. Another day, another FUD. On rumors of layoffs.
Binance has a "bottom out" (we should probably rename it to something else) program. We constantly say goodbye to people who are not strong fits with the company. Many of them are great people or high performers, but may not fit… https://t.co/YGnZILzd5C
— CZ 🔶 Binance (@cz_binance) May 31, 2023
Responding to the rumors, the Binance boss noted that the company has a “bottom out” program. On the basis of this program, many employees who are not strong for the company are asked to leave. CZ first said that a lot of people performed great. However, he added that they do not fit the company’s culture. However, CZ gave a small example of Working from Home (WFH). On the other hand, he stressed that this is not for everyone.
Meanwhile, the Binance boss stated that the “Bottom Out” program is ongoing. Hence, he noted that he practices it on a weekly basis. In addition, he claimed there was no ratio for people Binance had to ‘lay off’. CZ also clarified why this program was implemented. According to him, thanks to this type of program, Binance was able to become profitable four months after its inception. cryptocoin.com As you follow, the giant crypto exchange has survived 2 crypto winters. Moreover, it still continues to maintain its profitability on a daily, weekly and monthly basis.
