Coinone faces crisis as C-level executives continue to leave their positions.

Coinone, Korea's third-largest cryptocurrency exchange, is experiencing a series of executive departures. Despite aggressive marketing efforts, including zero-fee offers, its trading market share has fallen to the 1% range. As the company tightens its belt to cut costs, even key personnel are leaving.

According to cryptocurrency industry sources on the 10th, Chief Technology Officer (CTO) Jang Jun-ho recently resigned from Coinone. CTO Jang was a key technical figure who embodied Coinone's security expertise. Like former CEO Cha Myung-hoon, he was a renowned white hat hacker. Since his promotion to CTO in 2023, he has spearheaded service improvements and has been at the forefront of the company, giving numerous media interviews.



This isn't the first time Coinone has seen a C-level departure. Chief Financial Officer (CFO) Lee Yang, who was also a registered executive, stepped down to an advisory position in August, and all other executive positions, except for Chief Human Resources Officer (CHRO) Lee Woo-jin, have been replaced or left vacant. These vacancies are being filled through concurrent roles. CEO Lee Sung-hyun also serves as Chief Operating Officer (COO), and Chief Information Security Officer (CISO) and Chief Product Officer (CPO) Lee Kyung-geun now holds both positions, which were vacant after the departure of his predecessor. Just a year ago, the company had seven C-level positions filled, including CEO, CTO, COO, CFO, CISO, CHRO, and CPO. However, a series of subsequent departures has left the company with only three remaining executives.

As key personnel departures continue, concerns are rising about a weakening organizational culture. This is because Coinone, facing prolonged slumps in performance, is aggressively reducing fixed costs, including labor costs and downsizing its headquarters. According to industry sources, Coinone will renew only one of its two-floor offices in Yeouido Park One, whose lease expires in December, reducing the size of the building by half. In July, the company also implemented a restructuring that resulted in the departure of 10% of its workforce.

However, with sluggish trading volumes struggling to recover, the company's second-half performance is facing a red flag. As of the morning of the 10th, Coinone's domestic market share had fallen back to the 1% range. In response, Coinone has recently launched an aggressive marketing campaign, including a free trading fee event, but it has been ineffective. Furthermore, with Binance, the world's largest exchange, fully launching operations in Korea, the possibility of its third-place ranking being shaken is being raised.

Regarding these concerns, Coinone explained, “We are responding closely to ensure that there is no gap in work by appointing a proxy until the hiring of each organization head,” and “In addition to the COO position, which CEO Lee also holds, we are looking for suitable successors for the CFO and CTO.”

Reporter Kim Jeong-woo