Binance CEO Changpeng Zhao has confirmed that the crypto exchange had to undertake some “involuntary terminations” as part of its strategy to increase talent density. However, he disputes the huge numbers of layoffs being reported by mainstream media.
Reports of Massive Layoffs
Several media outlets, including CNBC and the Wall Street Journal, recently claimed that Binance was laying off thousands of employees.
- CNBC said up to 3,000 workers could be cut, nearly half of Binance’s staff [1] ↗
- The WSJ reported over 1,000 people had already been dismissed with more to come [2] ↗
- Former employees said customer support would be hit hardest.
CZ Confirms But Disputes Numbers
Binance CEO CZ confirmed some “involuntary terminations” but called the reported numbers “way off” and blamed “FUD”.
In a tweet, he said:
“As we continuously strive to increase talent density, there are involuntary terminations. This happens in every company. The numbers reported by media are all way off.”
CZ did not provide specific figures for the layoffs but said such staff reductions are normal for growing companies.
Reason for Layoffs
The media reports claimed Binance was preparing for a costly legal battle with U.S regulators by undertaking major layoffs.
However, CZ pushed back against this narrative, noting that Binance is still hiring. He concluded:
“On the bright side, they just can’t resist talking about us. We are still hiring.”
In summary, while CZ confirmed some layoffs as part of Binance’s talent strategy, he disputes the massive numbers reported by media. He claims those figures are exaggerated “FUD” and says Binance continues to hire new talent.
This article is based on the original news published on CryptoPotato.
