Polygon Labs, which runs the Ethereum scaling community Polygon, has laid off 60 employees members after buying Coinme and Sequence for greater than $250 million, folks acquainted with the matter instructed CoinDesk.
The job cuts come as the corporate pivots to blockchain with a deal with funds, the folks stated, noting that the modifications affected groups throughout the group fairly than particular departments.
Rumors of recent layoffs started circulating this week, following a number of studies a few 30% workforce discount. A spokesperson for Polygon Labs disputed the reported percentages, saying the corporate nonetheless has almost 200 workers after integrating the brand new acquisition and isn’t reducing jobs. A spokeswoman stated the job cuts had been a part of a restructuring following a latest acquisition, however declined to touch upon how many individuals could be affected.
“Previous to merging Coinme and Sequence workers into Polygon Labs, we made changes to maintain total headcount fixed,” the spokesperson stated. “These modifications are usually not supposed to cut back the scale of the corporate, however to stability the additions from latest acquisitions.”
That is Polygon Labs’ third main layoff in recent times. The corporate reduce roughly 100 workers, or 20% of its workforce on the time, in early 2023 because it consolidates a number of enterprise items below a single entity. Then, in February 2024, the corporate reduce an additional 60 folks, or 19% of its workforce, which the corporate stated was to enhance operational effectivity and efficiency.
CEO Marc Boisron additionally confirmed the job cuts in an announcement on social media platforms, saying the restructuring was associated to the overlap in roles created by the corporate’s latest acquisitions of CoinMe and Sequence. He stated the 2 groups will likely be mixed to help Polygon’s mission to “transfer all funds on-chain.”
“My outgoing teammates are extraordinary and I’m deeply grateful for all they’ve contributed to Polygon. We’re dedicated to actively supporting them via this transition,” Boylan wrote to X.
An organization spokesperson stated the corporate stays well-funded, with greater than $200 million in treasury and greater than 1.9 billion MATIC tokens.
Polygon is a scaling resolution for the Ethereum blockchain that goals to allow quicker and cheaper transactions. The community makes use of a proof-of-stake consensus algorithm, and its native foreign money, MATIC, is used to pay transaction charges and could be staked to earn rewards. Polygon was first launched as Matic Community by a number of Ethereum builders in 2017, and the community went stay in 2020.
In keeping with CoinDesk knowledge, the MATIC token has fallen by round 6% previously 24 hours. In the meantime, the CoinDesk20 index, a measure of the broader crypto market, was down about 1% over the identical interval on the time of writing.
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