KuCoin denies mass layoffs, says cuts part of 'normal' operations

KuCoin shut down rumors that it would lay off 30% of its workforce, but admitted there may be "workforce adjustments staff" in the future.

News Join us on social networks

Cryptocurrency exchange KuCoin has shut down rumors suggesting it is preparing to lay off 30% of its workforce – a figure that stands at around 300 employees – in the coming weeks.

“We want to clarify that KuCoin has not launched any alleged layoff plan,” a KuCoin spokesperson told Cointelegraph, adding that any potential cuts are part of a larger plan to expand business development. company:

"As part of the company's business development and semi-annual employee performance review, there may be personnel adjustments if necessary, which is a normal process in organizational development."

Responding to the layoff rumours, Kucoin CEO Johnny Lyu said in a tweet on July 25 that the cryptocurrency exchange was still working fine. Lyu explained that any potential staff reductions would be part of a semi-annual employee performance review, which he said is part of keeping "competitive and vibrant" in the rapidly changing crypto industry.

2/ First of all, KuCoin works well. Our recent H1 2023 report shows strong user growth and new announcements, and our talented team is growing steadily.

— Johnny_KuCoin (@lyu_johnny) July 25, 2023

KuCoin's clarification appeared to be a response to a July 25 article by freelance journalist Wu Blockchain, which claimed that KuCoin would soon lay off 30% of its workforce due to a strict KYC policy in the United States resulting in a drop in the profits of the exchange.

However, Wu Blockchain later backtracked on its claims after Lyu confirmed that the staff cuts were part of a normal performance review.