Crypto firm Polygon Labs lays off 20% of workforce as route worsens
Polygon Labs, the operator of an eponymous protocol used by developers to make Ethereum transactions faster and cheaper, said Tuesday it has laid off 20% of its workforce, or about 100 employees, making it the latest digital asset firm to make layoffs .
Polygon Labs, the operator of an eponymous protocol used by developers to make Ethereum transactions faster and cheaper, said Tuesday it has laid off 20% of its workforce, or about 100 employees, making it the latest digital asset firm to make layoffs .
Polygon has 500 full-time employees. In a blog post, the company said that the affected employees will receive three months’ severance pay, regardless of level or position in the company.
Polygon has 500 full-time employees. In a blog post, the company said that the affected employees will receive three months’ severance pay, regardless of level or position in the company.
Treasury of the company remains “healthy” with a balance sheet worth more than $250 million, according to the statement.
Treasury of the company remains “healthy” with a balance sheet worth more than $250 million, according to the statement.
Consolidation process
The layoffs come after Polygon Labs combined several business units earlier this year. On January 11, Polygon announced its corporate restructuring that now “unites all of our employees under one group of companies, referred to as Polygon Labs.”
Consolidation process
The layoffs come after Polygon Labs combined several business units earlier this year. On January 11, Polygon announced its corporate restructuring that now “unites all of our employees under one group of companies, referred to as Polygon Labs.”
Earlier in December, the company had also made adjustments to its community programs that led to the end of grants and the winding down of the DAO or Decentralized Autonomous Organization.
Earlier in December, the company had also made adjustments to its community programs that led to the end of grants and the winding down of the DAO or Decentralized Autonomous Organization.
Polygon, primarily an open source blockchain, also had units of Polygon Studios, its NFT, gaming and metaverse arm, attached to it. Under the new structure, the “Polygon Studios” name and brand will be discontinued and the Polygon Foundation, based in the Cayman Islands, will fully own the newly formed Polygon Labs.
Polygon, primarily an open source blockchain, also had units of Polygon Studios, its NFT, gaming and metaverse arm, attached to it. Under the new structure, the “Polygon Studios” name and brand will be discontinued and the Polygon Foundation, based in the Cayman Islands, will fully own the newly formed Polygon Labs.
In 2022, Polygon raised $450 million in a private token sale and has been on an expansion journey and has also partnered with many global conglomerates on various web3-related projects and also acquired developers from its rivals.
In 2022, Polygon raised $450 million in a private token sale and has been on an expansion journey and has also partnered with many global conglomerates on various web3-related projects and also acquired developers from its rivals.
The decentralized platform that makes digital coin Ethereum more accessible was founded back in 2017 as Matic and was renamed Polygon in February 2021.
The decentralized platform that makes digital coin Ethereum more accessible was founded back in 2017 as Matic and was renamed Polygon in February 2021.
Over a trillion dollars in value has been wiped from the cryptocurrency sector by 2022 as rising interest rates exacerbate fears of an economic slowdown.
Over a trillion dollars in value has been wiped from the cryptocurrency sector by 2022 as rising interest rates exacerbate fears of an economic slowdown.
The crash led to high-profile bankruptcies of key industry players such as crypto hedge fund Three Arrows Capital and Celsius Network.
The crash led to high-profile bankruptcies of key industry players such as crypto hedge fund Three Arrows Capital and Celsius Network.
The biggest blow to the crypto sector came after the major exchange FTX filed for bankruptcy protection last November. The rapid fall has triggered tough global regulatory scrutiny of how cryptocurrency companies hold funds and conduct business operations.
The biggest blow to the crypto sector came after the major exchange FTX filed for bankruptcy protection last November. The rapid fall has triggered tough global regulatory scrutiny of how cryptocurrency companies hold funds and conduct business operations.
The layoffs coincide with deep job cuts in the industry following the collapse of token prices in 2022, including at Coinbase Global, Blockchain.com and Crypto.com. Companies have collectively cut hundreds of jobs in the first two months of 2023 alone.
The layoffs coincide with deep job cuts in the industry following the collapse of token prices in 2022, including at Coinbase Global, Blockchain.com and Crypto.com. Companies have collectively cut hundreds of jobs in the first two months of 2023 alone.
In January of this year, Digital Currency Group-owned Luno said it would cut 35% of its total workforce to cope with a downturn in the crypto market.
In January of this year, Digital Currency Group-owned Luno said it would cut 35% of its total workforce to cope with a downturn in the crypto market.
