Changpeng Zhao (CZ), the CEO of Binance, took to Twitter on Monday to address the fear, uncertainty, and doubt (FUD) controversy surrounding the exchange and shed light on the speculated layoffs.
What Happened: CZ said that a particular individual continuously spreading FUD about Binance was driven by personal motives. It was disclosed that the individual had pitched their own project to Binance Labs, seeking an investment that was ultimately not granted.
"I learned today that a guy who is constantly spreading FUD about Binance was just because he pitched his project to Binance Labs and we didn’t invest," Zhao replied to a tweet posted by Binance co-founder Yi Hei.
He posted a series of screenshots where an individual is seen asking about Binance’s investment arm.
However, Binance’s challenges extend beyond the FUD controversy. Several media outlets have recently reported on the possibility of significant layoffs at the world’s largest cryptocurrency exchange due to its legal battle with US regulators.
See More: A Stay At The Floating Palace From James Bond's ‘Octopussy’
Why It Matters: While confirming the personnel cutbacks, CZ disputed the numbers previously reported, dismissing them as unfounded FUD.
The Wall Street Journal, citing an insider, had claimed that over 1,000 employees had already been laid off as Binance braces itself for a long and costly legal fight. Former employees also echoed concerns of further layoffs in the coming weeks, highlighting the customer support team as the hardest-hit department.
Taking the potential cutbacks even further, CNBC reported that the overall number of job reductions at Binance could reach as high as 3,000, accounting for nearly half of the firm’s total reported employees.
Photo Courtesy: Wikimedia Commons
Join Benzinga’s Future of Crypto in NYC on Nov. 14, 2023, to stay updated on trends like AI, regulations, SEC actions & institutional adoption in the crypto space. Secure early bird discounted tickets now!
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
