- Polygon, led by CEO Marc Boiron, disclosed plans to lay off 19% of its workforce, totaling 60 employees.
- The restructuring aims to optimize operations, foster agility, and streamline the organization’s focus.
- Initiatives include the spin-off of Polygon Ventures and plans to establish PolygonID as a separate entity.
Polygon, a prominent player in the blockchain space, recently made headlines with its announcement of significant job cuts as part of a larger restructuring plan. In a blog post penned by CEO Marc Boiron on February 1st, the company disclosed its decision to reduce its workforce by 19%, resulting in the departure of 60 employees.
Boiron clarified that this move is aimed at optimizing operations to enhance performance, stressing the importance of fostering a more agile and ownership-driven team culture. Despite the difficult decision, Boiron assured that impacted employees would receive a two-month severance package along with continued health benefits through February.
Notably, the company also revealed plans to retroactively increase total compensation by at least 15% for existing staff starting from January 1st, 2024, with new hires receiving a 5% raise.
Sandeep Nailwal, Polygon’s founder, expressed mixed emotions about the restructuring, describing it as a painful yet necessary step to realign Polygon Labs with its original mission. He emphasized the goal of returning to Polygon’s ‘underdog’ roots and fostering a more streamlined organization.
The restructuring efforts involve significant changes, including the spin-off of Polygon Ventures and the future establishment of PolygonID as a separate entity. With these strategic shifts and the departure of 60 team members, Polygon Labs will now operate with approximately 220 employees.
Saying goodbye to friends and colleagues is always very painful, but this was a necessary step to take Polygon Labs back to its ‘underdog’ roots. This makes us lighter, nimbler and more mission focused.
Our relentless focus is to build the Planetary scale blockchain network for…
— Sandeep Nailwal | sandeep. polygon 💜 (@sandeepnailwal) February 1, 2024
These developments come at a crucial time for Polygon, potentially impacting sentiment around the platform. While there has been notable growth in the number of daily active addresses on the network, there’s been a concerning decline in daily transactions. Analysis of Artemis’ data revealed a substantial drop in transactions from 16.3 million to 3.51 million over the last three months, leading to a corresponding decline in revenue.
Despite these challenges, initiatives like the zkEVM (zero-knowledge Ethereum Virtual Machine) offer hope for Polygon’s future prospects. As the company navigates through this period of transition, the focus remains on leveraging innovations to regain momentum and strengthen its position in the blockchain ecosystem.
Disclaimer: Please note that the viewpoints and perspectives expressed by the author, as well as any individuals referenced in this article, are intended solely for informational purposes. They should not be construed as financial or investment advice. It’s important to acknowledge that investing in or trading cryptoassets carries inherent financial risks.