Justin Sun, the founder of Tron, said on Friday that crypto exchange Huobi plans to lay off 20% of its staff. While consultant Justin Sun has previously denied rumors of layoffs, salary disputes and conflicts with employees, he claims several “structural adjustments” have not begun and are expected to be completed in the first quarter. Here are the details…
Justin Sun makes a statement about Huobi
Justin Sun, a member of Huobi’s global advisory board, sent a text message to Reuters, cryptocoin.com confirmed that the crypto exchange is indeed planning to lay off employees, as we reported earlier this morning. In an internal statement to Huobi staff, Justin Sun said that the crypto exchange survived the crypto winter. He also pointed out that Huobi has had an average of 20,000 new users in the last three months. The move came amid growing concerns about reserves and solvency on crypto exchanges following the collapse of FTX. Recently, crypto lending platform Genesis laid off 30% of its staff due to the FTX crisis.
Justin Sun described the restructuring as “short-term pains” that could eventually bring advantages to the stock market. When news of the tension in Huobi reached investors, the community began to withdraw their holdings and sell Tron and Huobi-related cryptocurrencies. Tron (TRX) price is currently trading at $0.05079, down 8% in the last 24 hours. The USDD stablecoin has also lost value against the USD and is currently trading at $0.979.
Huobi is performing well, according to Sun
While Huobi is facing problems of falling trading volume and revenue after the FTX crisis, Justin Sun believes the crypto exchange is outperforming other exchanges. Justin Sun made statements on Twitter to calm the panic surrounding Huobi, which is at risk of bankruptcy. He said customers’ assets are safe and securely stored in cold wallets. He pointed out that the firm also uses multi-signature technology and a reliable cloud computing system to protect user assets. It also claims that the crypto exchange is committed to transparency and compliance.
What about altcoins?
According to the data, the USDD stablecoin of Justin Sun’s Tron project is largely de-pegging and may be in the process of crashing. USDD, which was intended to be traded at $1, is currently worth $0.976. That is almost 5% less than its fixed value. However, the 24-hour trading volume reached $31.4 billion with a huge increase of 226%. USDD has a market cap of approximately $709 million. TRON (TRX) took a big hit as its price dropped by 8% in the last 24 hours. The 24-hour trading volume, on the other hand, increased by 167% to $441.7 million.
cryptocoin.com The token price of Huobi’s native token has already dropped by about 9% in the past 24 hours, according to data. HT’s 24-hour trading volume also fell 23%. On the other hand, Justin Sun has attracted attention with the sending of billions of dollars of stablecoins recently. Sun was caught transferring funds inside and outside of Binance.