Cryptocurrency exchange Binance is on the verge of layoffs, with the company reportedly planning to cut 20% of its workforce in June. The layoffs come after the company said earlier this year that it would not cut jobs.
According to the exchange, the decision was not a layoff, but a reallocation of resources. “As we prepare for the next major bull cycle, it's clear that we need to focus on talent density across the organization to ensure we remain agile and dynamic, ”. On Twitter, Binance’s Chief Strategy Officer Patrick Hillmann hinted at the reorganization in response to growing regulatory pressure on the crypto space:
“Regulators in nearly every major market are also working overtime to articulate more clearly what they expect from the industry and the broader asset class, putting more pressure on organizations to either adapt or fall by the wayside.” Also, the exact number of layoffs has yet to be determined, according to Hillmann. “As with previous exercises, this will be done after multiple teams, including HR, risk and operations, complete a talent density audit,” he continued.
At the time of writing, Binance's job page shows 326 open positions across multiple departments and locations. During the recent bull run, Binance grew its headcount from about 3,000 to nearly 8,000, with employees spread across Europe, the Americas, the Middle East, Africa , and Asia. In March, a Binance spokesperson told Cointelegraph that the company was looking to fill more than 500 positions by the end of June: “As of today, we are actively recruiting for more than 500 positions and aim to fill them by the end of the first half of the [… ] We don't plan to lay off staff.” Additionally, Binance CEO Changpeng Zhao said in January that the company plans to go on a hiring spree in 2023, increasing headcount by 15% to 30 %.
Members of the crypto community reacted quickly to the news, reviving Zhao's previous tweet about layoffs at the crypto exchange.
