According to The Wall Street Journal, Binance has reduced its employee benefits due to the drop in profits.
The crypto money market cannot reach its former profitability with the bear period. However, a The Wall Street Journal article wrote that Binance has made some restrictions as profitability has decreased.
Binance reduces additional employee benefits
Crypto exchange Binance decided to cut employee benefits last month after falling profits. The company has announced that it will discontinue certain benefits, such as cell phone payments, fitness payments, and work-from-home expenses. This decision is seen as a sign of financial pressures.
The Wall Street Journal said that Binance had laid off more than 1,000 employees in recent weeks. After this news, CEO CZ denied this situation and wrote that hiring continues.
Its founder and CEO, Changpeng Zhao, stated that the company is still profitable and regulatory litigation is not affected. However, Zhao said there may be layoffs every three to six months in the future, and there is uncertainty over whether benefits will return to the old pattern.
A Binance spokesperson stated that the company is looking at specific products, business units, staff benefits and policies to properly allocate resources. The company plans to defend and fight claims of illegal activity in the US in court.
Binance’s financial pressures have affected the bottom line of the crypto exchange. Regulators claim that Binance operates illegally in the US. Binance, on the other hand, states that it will continue to defend its platform and continue its activities.
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