Rumor: Binance internal announcement to lay off employees, rumored to be around 20%

According to sources, it has been reported that the cryptocurrency exchange Binance has announced internal layoffs. WuBlockchain, a media outlet, also stated that based on multiple sources, Binance has started layoffs, but the exact percentage is still uncertain.

Wu mentioned that Binance has around 8,000 employees, and rumors circulating in June suggested a layoff rate of around 20%. Binance has not responded to the news.

Binance Layoffs? Just Expanded in June Last Year

Last June, starting with Coinbase, several cryptocurrency companies began to announce layoffs due to the overall environment and over-expansion.

• Coinbase: 18% layoffs, around 1,100 people
• BitMEX: 25% layoffs, around 75 people
• BlockFi: 20% layoffs, around 150 people
• Gemini: 10% layoffs, around 100 people
• Crypto.com: 5% layoffs, around 260 people
• Latin American exchange Bitso: 80 layoffs
• Argentinian exchange Buenbit: 45% layoffs, around 80 people

Binance founder Zhao Changpeng stated at that time:

"Binance has very healthy emergency funds. In fact, we are expanding our recruitment with over 2,000 job openings in engineering, product, marketing, and business. The crypto field is still in its early stages. During a bull market, people tend to focus more on prices. If we are currently in a bear market, we believe it is a good time to bring in top talent, and we will make good use of it. We will do our best to leverage it."

Zhao Changpeng Clarifies Layoff Rumors: 4

Binance founder Zhao Changpeng CZ stated:

Another day, another rumor. About the layoff rumors.

Binance has a "bottom out" plan. Maybe we should rename it. Note: "bottom out" means no longer deteriorating. We often bid farewell to people who do not meet the company's requirements. Many of them are excellent talents or high performers but may not adapt to our unique culture/situation. For example, remote work is not suitable for everyone.

This "plan" is ongoing. I push it every week. We do not have a specific number of people that need to be "eliminated." I also push cost reductions every week, servers, flights, meals, etc. This may also be why...

Since its fourth month of establishment, Binance has been profitable. Starting from October 2017, having gone through two crypto winters, Binance has remained profitable on a daily, weekly, and monthly basis.

We have been striving to increase talent density. We conduct performance management. We are also recruiting talent.

Binance's Market Share Decline?

Recently, Binance's spot market share has dropped by over 50%. When interviewed, Binance's Chief Strategy Officer stated that Binance does not need to forcefully maintain a high market share, giving the market more room for competition is beneficial for industry development.