Cryptocurrency exchange Huobi Global refuses ‘large-scale layoffs’ rumors

© Provided by The Financial Express In August, 2022, the cryptocurrency exchange received confirmation to offer fiat cryptocurrency trading services in Australia

Huobi Global stated about not having plans to have “large-scale layoffs” and has refused reports around the resignations of two of its top executives during a takeover of the Seychelles-oriented cryptocurrency exchange, as reported by Cointelegraph.

According to Cointelegraph, reports that the platform’s chief executive officer (CEO) Leon Li and chief financial officer (CFO) Chris Lee have handed resignations started from an October 29, 2022, Twitter post from Chinese cryptocurrency blogger Colin Wu, citing “people familiar” with Huobi. Insights from the Twitter post highlighted on the possibility of mass layoffs planned for its 1,600 employees on account of “too may people” working in the company. 

“Huobi Global’s senior management team is performing their duties as per normal, and rumors of large-scale layoffs are untrue. At present, Huobi Global enjoys a healthy cash flow, and the new shareholders have completed the capital injection. Huobi has demonstrated positive development potential in key regional markets, and will continue to invest in business innovation, exploring international markets and recruiting local employees,” a Huobi Global’s spokesperson said, on the matter.

On the basis of information by Cointelegraph, the spokesperson did admit that implications of the cryptocurrency market downturn, certain cost-cutting measures could take place though proper clarifications weren’t provided on the matter. “Huobi Global is in a sound financial position at present, but due to the current market downturn, Huobi will also make adjustments to reduce costs and increase efficiency,” the spokesperson stated.

Moreover, Cointelegraph noted that Huobi is a Chinese cryptocurrency exchange founded by Leon Li in 2013, and reportedly has operations in over 30 countries on a global scale and presence in over 100 countries. In August, 2022, the cryptocurrency exchange received confirmation to offer fiat cryptocurrency trading services in Australia, post registering as a digital currency exchange provider with the Australian Transaction Reports and Analysis Centre (AUSTRAC). 

(With insights from Cointelegraph)

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