Simple readjustment or crisis? Binance lays off 12.5% ​​of its employees

For several months, Binance has been grappling with US financial regulators, including the SEC. A situation which weighs on the performance of the company and which, according to the press, obliges it to restructure its personnel. The boss of the company does not agree with this way of seeing things.

Binance reportedly laid off over a thousand employees in recent weeks

Information from an anonymous source reveals massive layoffs by Binance. According to the latter, the crypto firm would have thanked more than 1,000 employees in recent weeks. This, while a few months ago, it announced massive recruitments.

According to information from the American press, this wave of layoffs is linked to Binance’s regulatory setbacks. The company would thus deploy a policy of strategic restructuring of its workforce to face the regulatory challenges it encounters.

It would be in accordance with this operational choice that Binance would have laid off more than 1,000 employees out of the 8,000 that it would have across the globe. In terms of proportion, the company would thus have separated approximately 12.5% ​​of total employees.

It is significant. Especially since, as recently revealed, this wave of downsizing took place in parallel with the departure of several executives. A series of resignations that cannot be confirmed to be directly related to Binance’s workforce readjustment.

The latter has indeed confirmed its strategy of reducing its staff. However, she is in absolute disagreement with the reasons given by the press. Indeed, contacted for clarifications, Changpeng Zhao, boss of Binance, qualified his information as misleading.

According to the official, all the figures put forward by the media are false and do not reflect the reality of the facts. The press allegations are, according to him, only misleading rumors that fuel fear, uncertainty and doubt (FUD).

“There are involuntary layoffs as we continually strive to increase our concentration of talent. This is the case in all companies. The figures reported by the media are all very wrong”, said Changpeng Zhao. Then ironically saying: “The good thing is that they keep talking about us. We continue to recruit”.