FTX will not freeze hiring amid layoffs at other crypto firms, CEO states

FTX CEO Sam Bankman-Fried explained that the exchange will continue to “keep growing” during the bear market.

Amid unfavorable market conditions, some cryptocurrency-related firms decided to cut their workforce or freeze hiring. However, crypto exchange platform FTX will continue hiring new personnel as the crypto winter continues. 

In a Twitter thread, FTX CEO Sam Bankman-Fried explained that the exchange will continue to “keep growing,” explaining that they will onboard new staff just as they have done on the market’s better days.

Bankman-Fried noted that in February the company slowed down hiring. However, he said that this is not due to a lack of funds. The move was done to make sure that team members can have enough time to properly mentor new employees before adding more.

13) A lot of reporters have reached out asking if we’re going to be scaling back.

And our answer is the same as always:

We’re going to keep pushing forward.

— SBF (@SBF_FTX) June 6, 2022

Criticizing hypergrowth companies, Bankman-Fried underscored that hiring more staff quickly doesn’t equate to a substantial increase in productivity. “Sometimes, the more you hire, the less you get done,” he said. He explained that this is because rapid growth can make it very difficult to keep all staff “on the same page.”

Moreover, because FTX took its time and hired employees carefully since February, Bankman-Fried mentioned that the exchange can keep its hiring pace as it is “regardless of market conditions.”

Related: FTX reportedly shopping for brokerages in preparation for stock trading

At the start of June, crypto exchange Gemini laid off 10% of its employees. According to a notice from the exchange, the move was due to the current “crypto winter.” Apart from Gemini, Coinbase also decided to slow down hiring back in May.

Back in 2018, the industry witnessed larger layoffs as the market went down. Crypto miner manufacturer Bitmain and crypto exchange Huobi confirmed that they fired employees amid the 2018 bear market. Apart from the two, blockchain company Consensys reportedly dropped around 60% of its staff before announcing the hiring of 600 employees in 2022.