For three consecutive weeks, Binance has been dominating headlines with its hiring choices and layoff rumors. Amidst an SEC investigation, the company first promoted Richard Teng as its head of regional markets, while denying reports of imminent staff reductions.
Subsequently, the world’s largest crypto exchange hired Rachel Conlan from OKX to act as vice president of global marketing. This week, however, Binance.US, the American arm of the company, confirmed that layoffs are inescapable, although it didn’t disclose the expected number of job losses. Reuters reported a source familiar with the company’s plans claimed that 50 people were laid off. However, Blockworks has not been able to independently verify this.
The layoffs follow a lawsuit by the SEC against BAM Management and BAM Trading, the companies managing Binance.US. In response, Binance.US secured the services of George Canellos as counsel. Canellos is a partner at the international law firm Milbank and previously served as co-director of enforcement at the SEC from 2009 to 2014.
In his time at the SEC, Canellos participated in investigations that resulted in several major banks paying $570 million in fines for misleading investors about residential mortgage-backed securities. Additionally, he has represented numerous executives and companies in SEC cases, which seems to be valuable experience Binance.US was seeking.
Meanwhile, Amy Wu, the former head of FTX Ventures, has joined Menlo Ventures, a VC firm based in the San Francisco Bay Area. According to Axios, Wu’s role will include investing in blockchain technology, although there is no indication of overzealous investing in this area. Shawn Carolan, a partner at Menlo Ventures, stated that the company will definitely not engage in “cryptocurrency speculation” or any similar activities.
On the other hand, crypto venture capital firm Eden Block hired 20-year Goldman Sachs veteran Orit Freedman Weissman as a partner. Furthermore, investing platform, Public, which provides support for crypto, enlisted Prashant Yerramalli as vice president of operations and regulatory affairs. Yerramalli was previously the SEC Chair Gary Gensler’s chief of staff.
However, not all news in the crypto world was positive. Crypto tax software startup Taxbit reportedly slashed its workforce by 40%, accounting for 80 employees. Additionally, IOG, the company responsible for developing Cardano, laid off several employees as part of a restructuring effort.
In conclusion, the crypto industry is witnessing a surge in experienced professionals joining its ranks, which is generally a positive sign for the sector. On the other hand, companies like Binance.US are facing legal challenges that lead to job losses, highlighting the complex nature of the industry’s growth and development.
Source: Blockworks
