Binance CTO Rohit Wad On the Exchange's Remote-First and Decentralized Structure

With the departure of Binance’s first CEO, Changpeng “CZ” Zhao, many in the crypto community see it as the end of an era. Now, all eyes are on the company’s new CEO, Richard Teng, whose job is to continue the company’s growth and to shake off the hefty settlement payouts of $4 billion.

Earlier in Binance’s history, the location of its head office was a major source of speculation. But the truth is that the company has nearly always operated on a radical remote-first principle, so questions about the location of its head office were somewhat moot. 

We’ve tracked down Rohit Wad, CTO of Binance, to learn more about the work culture at Binance and how the remote-first policy’s been working out for them. Wad joined Binance in 2022, hailing from a seriously impressive multi-decade career at Microsoft, Facebook and Google, where he led engineering efforts for a large number of products we use today.

Binance has been a remote-first company for a while, even before the Covid-19 pandemic hit (some would say “before it was cool”). What do you think was the company’s thought process for enabling this back then?

RW: Binance’s decision to be a remote-first company was partly inspired by Bitcoin’s principle of decentralization. But beyond that, it became an integral part of our working culture, benefiting us in numerous ways.

Our remote-first strategy is a major factor in attracting top talent. It provides increased flexibility, time savings, and a better work-life balance, which are often mentioned. However, one advantage that isn’t discussed enough is that location independence enables equality of opportunities.

Our Regional General Manager for Australia, New Zealand and Pacific Islands, Ben Rose, is a fitting example of this. Many leadership positions in this region necessitate relocation to Australia, causing a persistent brain drain from New Zealand. Binance's remote-first policy allows Ben to effectively fulfill his role from the comfort of his home in New Zealand. His school-age children do not need to relocate - an action that could be especially difficult for the younger ones. 

Another important factor to consider is that the crypto never sleeps. Unlike traditional markets, crypto markets operate round the clock. A customer-facing business such as ours needs dedicated teams available 24/7 to ensure a smooth running platform and to serve our users. 

Was the remote-first policy an important factor when choosing Binance as the next step after your Big Tech career?

RW: For me personally, joining Binance was less about the remote-first policy and more about the opportunity to shape the future of tech and finance. I’ve always loved technology, innovation and creating solutions. Crypto and Web3 are poised to be the next technological revolution and I think technologists by nature are excited to be at the forefront of things.

Now, over 1.5 years into my journey with Binance, I can confidently say that the experience has indeed been a thrilling adventure. It's not every day that one gets the privilege to push the boundaries of technological possibilities daily, and I consider myself fortunate to have been entrusted with such an opportunity.

What are some tips for managing a global workforce spread across all timezones? Do you group people and divisions on their time zones, or is it all combined?

RW: At Binance, time zones are viewed as an advantage, rather than an obstacle that hinders effective work. Particularly in our engineering teams, time zones are the new countries.

Here are three tips I can provide based on our experience. First, we are intentional about organizing our user-facing teams in three major time zones for round the clock coverage. People working in similar domains also tend to be in similar time zones to facilitate collaboration.

Secondly, we employ a mix of synchronous and asynchronous communications. Daily huddles are set at consistent, 3-time-zone friendly times. Ad-hoc meetings are on an as-needed basis. Regular town halls and Q&A sessions hosted by the leadership team keep everyone in sync. The in-house chat tool and extensive use of written documents come in handy for day-to-day asynchronous interactions.

Finally, we encourage people who work in the same city to get together in-person, but don’t have any set guidance on how often. Some teams “work together” on set days each week, others work together once a month, while others just meet for team events. We believe in granting this flexibility to each team, to optimize their synergy.

Remote work acceptance seems to depend on demographics. Older people with families love it because they can spend time at home with their kids, while younger people tend to hate it because they’re usually sitting at home alone. How do you think employers can balance these two extremes?

RW: You’re right, it’s not all sunshine and roses. There are headlines of companies introducing a blanket mandate choosing either extreme. This is rarely the best solution because you will always find a spectrum of preferences. Context also matters. What works in one industry may not work in another.

At Binance, we decided to remain remote-first given the successes we’ve had with it. Even so, we recognize that fully remote work is not for everyone. That is why we made sure that our employees have access to offices or co-working spaces.

As a CTO, I personally spend a lot of my time in meetings. Yet, I also appreciate the value of in-person interactions. I learn a lot about the people I work with through these experiences, be it their professional challenges or their life outside work. Some concepts lend themselves better to a whiteboard and multiple monitors. I have team members who relish face-to-face meetups, while others are more comfortable with remote interactions. Both preferences are equally valid, as long as the work gets done effectively.

Do you agree with the popular consensus (backed by some studies) that remote workers are less productive? Can organizations do something to mitigate this?

RW: While I am inclined to disagree due to my personal experience and observations, I am not surprised by the findings within these studies. It's important to consider that managing a remote team remains an unsettling concept for many and can be challenging without the right tools and practices in place.

A remote-first arrangement is most effective and productive when it complements the company culture and values. Binance is a great example. It was founded as a decentralized organization where there is a low power distance culture. Every employee is entrusted to take accountability and ownership. We run 360 degree reviews to facilitate this and continuously improve feedback channels so every member of Binance is open to share their thoughts.

It is critical that employees are aligned with the company’s mission and vision. We know that flashy perks and fancy offices do little to attract great talent and get old really fast. Remember the bean bags and nitro brews? More than these perks, organizations retain people when they find their work to be meaningful. You will find that remote-work arrangements will amplify the differences for you.

What are some benefits of remote-first that should make it a no-brainer for certain companies? By contrast, are there organization types or situations where you wouldn’t recommend going remote-first?

RW: The main benefit of a remote-first organization, in addition to the geographical freedom and hence more equitable access to working opportunities for employees, is that the organization can tap into a larger talent pool to focus on and compete for the best people.

Remote work also promotes high accountability and a culture of ownership at every level, facilitates around the clock operations, which ensures that users always enjoy a smooth experience, and it improves costs and operational efficiency through reduction in office-based expenditures.

These benefits make it worthwhile for many industries to consider a remote-first approach, where the nature of work allows for it. But certain professions require on-site presence and specialized tools that don't lend themselves to remote contexts. 

For instance, surgeons performing open-heart surgeries need to be present in the operating theater, equipped with the appropriate medical apparatus. Advancements in technology might make remote execution of such complex tasks possible someday, but not today.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

FinTech