KuCoin denies mass layoffs, says cuts are a part of ‘regular’ operations

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Cryptocurrency trade KuCoin has shut down rumors suggesting it was making ready to put off 30% of its workforce — a determine that quantities to roughly 300 workers — within the coming weeks.

“We wish to make clear that KuCoin has not initiated any alleged layoff plans,” a KuCoin spokesperson informed Cointelegraph, including that that any potential cuts are a part of a broader plan to increase on the agency’s enterprise improvement:

“As a part of the corporate’s enterprise improvement and semi-annual worker efficiency evaluation, there is perhaps some personnel changes as wanted, which is a traditional course of in organizational improvement.”

Addressing the layoff rumors, Kucoin CEO Johnny Lyu said in a July 25 tweet that the crypto trade continues to be working easily. Lyu defined that any potential workers cuts can be a part of a semi-annual worker efficiency analysis, which he stated is a part of remaining “aggressive and dynamic” within the fast-paced crypto sector.

The clarification from KuCoin gave the impression to be in response to a July 25 post by impartial journalist Wu Blockchain, which claimed that KuCoin would quickly lay off 30% of its workforce on account of a strict KYC coverage in america resulting in a decline within the trade’s earnings.

Nonetheless, Wu Blockchain later backtracked on the claims after Lyu confirmed the workers cuts have been a part of a traditional efficiency appraisal.

KuCoin didn’t make clear the proportion of workers that will be reduce and which positions can be most impacted.

In keeping with KuCoin, the corporate at present employs round 1,000 workers worldwide, a determine Lyu claims is “steadily” rising.

Associated: KuCoin crypto exchange to introduce mandatory KYC in July

The decline in crypto asset costs all through 2022 pressured lots of the trade’s heavyweights in Binance, Coinbase and Kraken to considerably scale back head counts considerably.

Binance has reportedly laid off over 1000 employees since Might 31 this 12 months, whereas Coinbase laid off 18% and then another 20% of its workers in June 2022 and in January 20 respectively. In November, Kraken released 1,100 employees, which amounted to roughly 30% of its workforce on the time.

Nonetheless, latest information from March 2023, suggests the speed of layoffs all through the crypto trade may now be decelerating.

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