KuCoin claims that staff changes are a "normal process in organizational development."
Squashing circulating whispers of impending extensive layoffs, cryptocurrency exchange KuCoin claims that such rumors are false.
The speculations were first revealed in the July 25th post by an independent reporter Wu Blockchain.
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The article suggested that KuCoin was preparing to fire 30%, around 300 individuals, of its workforce due to stringent Know Your Customer (KYC) regulations in the United States, resulting in a dip in the crypto exchange's profits.
When asked about the rumors, the crypto exchange KuCoin representative cleared the air, stating they haven't embarked on any large-scale layoff endeavors.
However, the representative noted that any potential changes in staffing are part of the organization's natural evolution.
As part of the company’s business development and semi-annual employee performance review, there might be some personnel adjustments as needed, which is a normal process in organizational development.
On July 25th, KuCoin's CEO, Johnny Lyu, also took to social media X to address the floating rumors. Lyu echoed the statement provided by the company's representative, noting that the crypto workforce modifications would be an outcome of the semi-annual employee performance review.
On top of that, Lyu added that such adjustments are necessary to stay "competitive and dynamic" in the rapidly shifting cryptocurrency industry.
KuCoin did not disclose specific details regarding the proportion of the workforce that might be affected or the positions most susceptible to these changes. Currently, KuCoin boasts a global team of about 1,000 members.
The broader landscape of the crypto industry has seen significant personnel shifts throughout 2022 due to the volatile nature of crypto asset prices. Major entities like Binance, Coinbase, and Kraken have undergone considerable workforce reductions.
Since the end of spring, Binance reportedly terminated over 1000 contracts. On the other hand, Coinbase initiated two major layoffs, slashing 18% of its workforce in June 2022 and another 20% in January 2023. In November, Kraken also let go of 1,100 staff members.
