According to CEO Sam Bankman-Fried, FTX will not be scaling back on its employees. The company is “going to move forward,” he said.
FTX CEO Sam Bankman-Fried says the cryptocurrency exchange will “zag” where other crypto firms will “zig”. In short, he does not see the crypto platform halting its hiring process or laying off employees as has happened across the industry in recent months.
This, he noted in a Twitter thread, is “regardless of market conditions”, with most crypto firms taking losses in line with a bear market.
FTX ‘keep pushing’
Bankman-Fried noted that FTX can continue to grow because it has taken a careful recruitment approach and, over the years, has grown its revenue and productivity — not expenses.
,A lot of journalists have reached out to ask if we’re going to scale back. And our answer is the same as ever: we’ll keep goingThe FTX chief wrote.
He says that instead of cutting jobs, the platform creates more jobs. However, this will be done at a more sustainable rate. Banksman-Fried and team will also try to maintain the same high standards followed during previous hiring.
And again, FTX never stopped hiring. It simply slowed down after killing 250 employees to allow enough time for the new employees to fully integrate into the company culture.
19) Sometimes, when the other zig, you zag.
— SBF (@SBF_FTX) 6 June 2022
Bankman-Fried’s views on hypergrowth companies
Several crypto firms have announced job cuts during the crypto winter, including Gemini and Coinbase. In past bear markets, especially in 2018, many companies have seen employees packing up – after being hired during several bull markets.
According to Bankman-Fried, this type of overgrowth does not always lead to greater productivity or growth. Instead of targeting 10x productivity, it all backfires to a point, with nothing done.
That’s why “coordination becomes really difficult“As the responsibility spreads, more people get involved.
When it becomes difficult to provide incentives to employees, the firm is in trouble. He goes on to explain why some of the most successful companies end up then.
“It’s a race – how quickly new employees understand the company culture, and how quickly people get hired. The faster you get hired, the harder it is to keep everyone on the same page.”,
And that way a company can quickly land in Moloch, he said.