CZ Admits To Involuntary Termination Within Binance But Disagrees With Reported Numbers

Several traditional media outlets recently reported that the world’s largest crypto exchange, Binance, will or will have to lay off thousands of employees in the wake of a legal battle with US regulators.

The company’s CEO confirmed the layoffs but disagreed with the number of staff members fired as reported by “FUD”.

CNBC, WSJ report

The Wall Street Journal cited a person familiar with the matter as saying Claimed On Friday, Binance had already sacked more than 1,000 people as it prepared for a long and costly legal battle with US regulators.

Former employees of the company claimed that there would be more layoffs in the coming weeks, with the customer support team being hit the hardest.

“As we prepare for the next major acceleration cycle, it has become clear that we need to focus on talent density across the organization to ensure we remain agile and dynamic. This is not a matter of delegating authority, but a reassessment of whether we have the right talent and expertise in key roles,” commented a Binance spokesperson.

CNBC took it a step further, it shows The total cut-off within the exchange could reach 3,000, which is almost half of the firm’s informed of Employee.

The media outlet’s source explained that the DOJ fight could “fundamentally” change Binance, as the company could face billions of dollars in damages if it decides to settle.

CZ confirms but not everything

Binance CEO Changpeng Zhao started this year with a message to all his followers that they should learn to ignore most of the FUD coming from traditional media outlets. Over the next seven months, he had to use that phrase a lot.

When news of the layoffs broke, CZ did indeed confirm that his company had to take what he called “involuntary termination.” However, he added that Binance is doing this as it strives for “talent density”.

Additionally, CZ strongly disagreed with the above number of laid off employees.

As we continually strive to increase talent density, involuntary terminations happen. This happens in every company. The figures reported by the media are absolutely wrong. 4 FUD.

Good thing they can’t stop themselves from talking about us.

We are still hiring.

— CZ 🔶 Binance (@cz_binance) 14 July 2023