Binance Fired over 1,000 Employees in Recent Weeks: Report
Binance reportedly has made over 1,000 employees redundant in recent weeks, further shrinking its previous 8,000-strong global workforce. The Wall Street Journal (WSJ) reported the massive cut in employment today (Friday...
Archive context
Older archive item. Useful for background and entity history, but not a fresh market-moving signal.
Binance reportedly has made over 1,000 employees redundant in recent weeks, further shrinking its previous 8,000-strong global workforce. The Wall Street Journal (WSJ) reported the massive cut in employment today (Friday), citing an insider source.
Binance Cuts More Jobs Globally
Former employees told WSJ that more staff members across the exchange’s global markets were let go this week, with customer-service workers mostly affected. In India alone, about 40 employees in this category were dismissed, the outlet said.
The downsizing comes as regulatory pressure continues to mount on the exchange, which recently endured an exodus of senior executives. Already, over 50 employees working for the exchange’s so-called independent US subsidiary have been released.
However, earlier this month, Changpeng ‘CZ’ Zhao, the CEO of Binance, while reacting to the departure of Patrick Hillmann, the ex-Chief Strategy Officer and other key executives, dismissed speculations of troubles at the exchange, noting that “there is turnover at every company.”
4. More FUD about some departures. Yes, there is turnover (at every company). But the reasons dreamed up by the “news” are completely wrong.As an organization that has grown from 30 to 8000 people in 6 years, from 0 to the world’s largest crypto exchange in less than 5 months…
— CZ 🔶 Binance (@cz_binance) July 6, 2023Before then, in May, Hillman rebuffed reports that Binance was pruning its workforce by 20% as a ‘cost-cutting measure’, suggesting that the exchange was simply going through its regular ‘talent density audit and resource allocation’ exercise.
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, 2023More Troubles for Binance
Currently, Binance is defending against charges filed by the US Securities and Exchange Commission (SEC) made in early June. The regulator has alleged that the exchange ran unregistered trading platforms and misused customers’ funds. On the other hand, the crypto exchange is worried about possible charges from the US Department of Justice, WSJ reported.
In the last month, Binance has suffered several setbacks: it was forced out of Belgium, denied a license in the Netherlands and Germany, and lost its euro banking partner. Additionally, the exchange is under investigation in France, with a lawmaker pushing for a congressional inquiry into the firm’s representative in Brazil.
However, despite these challenges, Binance recently launched in Kazakhstan, marking its first presence in the Central Asia sub-region.
This article was written by Solomon Oladipupo at www.financemagnates.com.Why this matters
This research story adds another data point to the current market tape and is useful when read alongside nearby source coverage.
Original source
Read on Finance MagnatesRelated market context
CryptoQuant reports 160% surge in altcoin exchange deposits in 2 weeks
Increased altcoin exchange deposits may signal impending market volatility, highlighting potential shifts in investor sentiment an...
Zcash (ZEC) Price Prediction: Whale Accumulation and ETF Outflows Put ZEC at a Critical Crossroads Around $1,400
The Zcash price reached a September high near $1,687 before retreating toward the $1,400 area. Historical price data shows the tok...
ESMA and National Regulators Scrutinize Binance’s Reliance on ‘Reverse Solicitation’ Exemption in the EU, FT Reports
The European Securities and Markets Authority (ESMA) and national regulators in France, Germany and Greece are questioning Binance...
Is "Reverse Solicitation" Under Scrutiny? EU Probes Binance’s Services after Wind-Down Order
EU officials are questioning crypto exchange Binance over its use of reverse solicitation, a legal exemption, to keep serving cust...
Ripple quietly made Brazil the center of its XRPL tokenization push
Ripple's Brazilian foothold spans cross-border payments and securities records in a country Chainalysis ranked first for grassroot...
Introducing The Information Exchange on Solana, Powered by Decrypt and MYR
Decrypt is the destination, Myriad is the infrastructure and MYR is the token for a connected media ecosystem.