Polygon Labs Announces Layoffs Of 100 Employees: 'A Painfully Hard Decision'

Zinger Key Points
  • Polygon Labs consolidates business units and reduces headcount by 20%.
  • Impacted employees will receive 3 months severance pay.

Blockchain company Polygon has announced layoffs of about 100 employees, or 20% of its workforce, impacting multiple teams.

The company stated that the move comes as it consolidates its business units under Polygon Labs, after a period of “exponential growth.”

Polygon said that it has a treasury balance of over $250 million and more than 1.9 billion MATIC MATIC/USD tokens, and has crystallized its strategy for the next few years to help drive mass adoption of Web3 by scaling Ethereum ETH/USD.

In a statement, the company said that laying off employees was "a painfully hard decision, but a necessary step in our journey."

Polygon co-founders, Jaynti Kanani and Sandeep Nailwal, expressed their gratitude to the departing employees, who played a crucial role in building the company's technology and ecosystem.

Also read: Former FTX Engineer Nishad Singh In Talks To Plead Guilty To US Criminal Charges

"These individuals will always be a part of the 0xPolygon community and we sincerely thank each and every one of them," Kanani and Nailwal said in a joint statement.

Each impacted employee will receive three months of severance pay, regardless of their level or tenure at Polygon Labs.

Over the past few months, there has been a decline in crypto market sentiment and the overall economic condition.

The downfall of FTX FTT/USD contributed to the fall of cryptocurrency prices and led to renewed calls for regulatory supervision.

Meanwhile, governments worldwide have been raising interest rates to fight inflation.

The job cuts, which initially hit the crypto sector in June 2021, have now spread across major tech companies and continue to impact the crypto industry in recent weeks.

Next: Hong Kong's Securities Watchdog Proposes Allowing Retail Investors To Trade Big-Cap Cryptocurrencies

Photo: Shutterstock

 

 

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CryptocurrencyNewsMarketsBlockchainEthereum ScalingLayoffsPolygonPolygon LabsWeb3
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!