Coinbase CEO Tweets “Quit And Find A Company You Believe In” To Angry Employees

Cryptocurrency platform Coinbase announced earlier in June, “In response to current market conditions and ongoing efforts to prioritize business, we will be extending our hiring pause for the foreseeable future for both new and replacement positions and withdrawing a number of accepted offers.”

There was a public backlash on social media sites as people feeling the resilience being pulled from under their feet shared their stories of being out of work after excitedly anticipating a new position at the top-tier crypto platform. This action may have sparked an uprising among disaffected Coinbase employees.

Coinbase employees call for removal of top executives

Coinbase employees, concerned about the withdrawn offers and other management decisions, launched an online campaign petition Firing top executives like COO Emilie Choi, Chief Product Officer Surojit Chatterjee and Chief People Officer LJ Brock “in a vote of no confidence”.

The workers criticized management, saying in the petition: “The leadership team has recently made decisions that are not in the best interests of the company, its employees and its shareholders,” and those decisions have “resulted in questionable results and negative value.” . They gave the following reasons for their dissatisfaction.

  • The failure of the Coinbase NFT platform
  • The over-prioritization of certain products that has led to a loss of focus on other important issues such as infrastructure
  • Initiatives like the Dot Collector and the performance appraisal system that have led to a toxic work culture
  • Aggressive hiring for thousands of roles, although this is an unsustainable plan and goes against the wisdom of the crypto industry
  • Not being able to deliver higher or better quality products and services despite aggressively hiring more employees
  • Withdrawing offers to new hires despite being promised their offers would not be withdrawn two weeks prior, leading to a massive negative reaction from the public and the industry at large
  • Failure to communicate important ideas and plans to the rest of the company, such as B. the possibility of layoffs and the plan to pay off many technical debts
  • A generally apathetic and sometimes condescending attitude of the CPO, COO and Chief People Officer

The group added that management’s actions had “harmed multiple parties”. They claimed that management was making “unrealistic demands” that contributed to the company’s stock price plummeting, shareholders getting hurt, a concomitant loss of morale among employees and “threats of losing top talent.”

Managing Director Brian Armstrong Went to Twitter roll back the petition

This isn’t the first time Armstrong has issued employees a bold “leave if you’re not happy” decree. In October 2020, the CEO of the Silicon Valley-based cryptocurrency exchange told employees that he would not be involved in politics and advocacy at the office. Armstrong said bluntly that he would like to offer severance packages to employees who disagree with the company’s new policy of “political neutrality” in the workplace.

In a letter to employees, the CEO wrote: “Life is too short to work at a company you are not passionate about. Hopefully this package will help create a win-win outcome for those who choose not to opt out.” Around sixty employees accepted Armstrong’s offer and left the company.

Armstrong wrote in his recent tweet storm about the staff rebellion: “This is really stupid on several levels. If you’re going to cast a vote of no confidence, you should cast it on me and not blame the executives. He added: “Who do you think runs this company? I was a little offended not to be there :).”

The outspoken executives ran the gauntlet, “If you don’t have confidence in a company’s executives or CEO, then why do you work at that company?” Quit and find a company to work for that you believe in!

The embattled leader agreed that “suggestions for improving the company are a great idea (in fact, we expect everyone to participate)” but that “our culture is to praise publicly and criticize privately.” If you’re unhappy with something, work as part of the team to address it, along with suggested solutions (it’s easy to be a critic, harder to be part of the solution).” Armstrong made it clear to petitioners, “If If you can’t do that and leak/scolding to the outside world, then quit. Many Thanks!”

Here’s why this happens

The bleak economic outlook may have prompted Brock and other business leaders to make tough, belt-tightening decisions. We are seeing rapidly falling prices for both stocks and cryptocurrencies. Soaring inflation, supply chain disruptions, soaring costs of goods and services, and concerns about a likely impending recession or possible stagflation are concerns for executives of all types of companies. A possible escalation of the Russian war against Ukraine is feared. The Federal Reserve halted stimulus, changed course and announced a quantitative tightening program.

According to Brock’s company blog post about the hiring pause and the offering of layoffs, “This is not a decision [it makes] recklessly,” Coinbase believes, by taking “tighter measures to slow it down [its] Employee Growth” and “Adapt Quickly and Act Immediately” the hiring freezes and job reversals will save money and serve as part of a broader strategy to “navigate this macro environment and emerge even stronger to enable continued healthy growth and innovation.” .

What people whose offers were withdrawn said about their situation

Ashutosh Ukey: Hi everyone, on March 9th I received an offer from Coinbase for a role as Backend Software Engineer. Since then I’ve mainly decided between this offer and an offer of a CS Ph.D. at the University of Illinois Urbana-Champaign.

After considering several factors, I had decided to join Coinbase rather than pursue a PhD. Unfortunately, I received an email today stating that my offer (as well as many other people’s) was withdrawn due to a massive change in Coinbase’s hiring schedule.

This was devastating for me as I wanted to start on a STEM OPT VISA and I am only allowed to remain unemployed for a certain number of days. I even had three Ph.D. Offers and declined interviews at other companies as I accepted Coinbase’s offer in mid-March. All of these other options are no longer available to me.

After planning so much for the next phase of my life, it was heartbreaking to see it fall apart so quickly. If anyone knows of any vacancies for entry level software development positions (which F1 students can sponsor) your help during these difficult times would be greatly appreciated.

Sarah Bern: About a month ago I accepted a job offer as a Senior Data Scientist at Coinbase. Last Wednesday was my last day at Facebook, and in an unfortunate turn of events, I found out on Thursday that despite an expected start date in just a week, my offer was withdrawn due to the market downturn. I’m certainly disappointed with the way these events have unfolded, but look forward to exploring new opportunities. If you know someone who is hiring for Data Science or Analytics, please get in touch!

Xingcheng Rong: A few days ago I was devastated since Coinbase withdrew the offer. Back in March, I signed an offer to start at Coinbase after graduating as a software engineer. I was so excited to start a new page in my life. Rent a house, book flights to San Jose, learn about the fintech industry.

All things have changed since last week. I was depressed for a few days. As an international student, I know how difficult job hunting is, especially in such a tight time frame (since I was due to start on a STEM OPT VISA and only have a 90 day grace period).

I studied in the USA for six years. There are many great tech companies in the US. I hope I might have the opportunity to use my skills to work here. I don’t want six years of computer science studies to go to waste just because an offer is withdrawn.

Megan Schuller, Ph.D.: Hey LinkedIn, I was looking to start my new job at Coinbase this Monday, June 6th. I was to join the Talent Effectiveness Team to help optimize the candidate experience and design programs to ensure employee success. Unfortunately my offer was canceled as well as some others.

I am currently looking for opportunities in the area of ​​talent development and employee engagement. If you or someone you know is hiring, I’d love to get in touch. Please comment, share or DM. Thank you.

What’s wrong with cryptocurrencies?

The Wall Street Journal reported that “Coinbase shares are down 77% so far this year and about 83% off their November record high of $357. On Friday, shares fell 7.9% to $58.71 WSJ adding, “The entire crypto sector is under pressure amid the ongoing sell-off in bitcoin and other cryptocurrencies. This has forced many to cut costs and abandon plans that seemed feasible just a few months ago.”

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