Cryptocurrency exchange Binance has cut jobs just days after it was hit by a wave of executive departures, a source familiar with the matter told Reuters on Friday.
The layoffs at the world's largest cryptocurrency exchange come at a time when the future of the industry in the US market is uncertain, with regulators clamping down on what they see as illegal activity.
Last month, the Securities and Exchange Commission (SEC) sued Binance and its CEO, Changpeng Zhao, for allegedly operating a "deception network." Binance has said that he would "vigorously" defend himself.
Lawsuits against Binance and its peer Coinbase Global support SEC Chairman Gary Gensler's tough approach to the industry, but a US judge who recently sided with crypto firm Ripple Labs notes that the regulator faces an uphill battle.
Applications for spot bitcoin exchange-traded funds (ETFs) from asset management giants BlackRock and Fidelity have also been seen as a vote of confidence for the industry.
โOver the last six years, we have grown from 30 to a team of almost 8,000 around the world. As we prepare for the next big bull cycle, it has become clear that we need to focus on talent density across the organization to ensure we remain agile and dynamic,โ a Binance spokesperson said.
The job cuts were first reported by the Wall Street Journal, which said more than 1,000 people had been laid off in recent weeks.
Last week, a number of executives resigned from Binance, including its chief strategy officer, Patrick Hillmann.
