Polygon Labs, a blockchain developer behind the Polygon sidechain, has cut 20% of workforce (about 100 positions) across multiple teams as the market is trying to recover from the devastating 2022.
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The firm wrote in a blog post that all departing employees will get three months of severance pay, regardless of their level at Polygon Labs. It is unclear what was the reason behind the move as the firm still has over $250 million and more than 1.9 billion MATIC in its treasury. Amid the news, MATIC price dropped 6% to $1.39, according to data from Nomics.
As iHodl earlier reported, over 2,800 people lost their jobs in the cryptocurrency sector in January alone. According to data from CoinGecko, around 84% of the layoffs have been done on crypto exchanges. The analysts believe that the layoffs were due to declining trading volumes and revenues.
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