Polygon Labs lays off employees from multiple teams

• Polygon Labs has cut its headcount by 20 percent
• The platform has over $250 million in its balance sheet and nearly 2 billion MATIC

Polygon Labs has joined a slew of crypto firms that have laid off their employees. The move comes even though Bitcoin (BTC) and other cryptocurrencies have been making an upward move in the past few weeks. The firm announced today that it has cut its staff count by 20 percent, affecting multiple teams and nearly 100 positions.

A blog post on the layoff read,

“This was a painfully hard decision, but a necessary step in our journey. Our departing teammates have played an historic part in building the Polygon technology and ecosystem to be the globally recognized blockchain that it is today.”

MATIC unaffected by Polygon Labs’ move

Moreover, Polygon Labs has not given a reason that influenced this decision. However, it has assured that its “treasury remains healthy,” adding that its balance sheet has over $250 million and over 1.9 billion MATIC. According to CoinMarketCap, MATIC has not made any significant move since the announcement was made.

Read Polygon’s [MATIC] Price Prediction 2023-24

At press time, the coin was trading at $1.41 with a market cap of over $12 billion. The coin registered a downtrend of over 5 percent in the past 24 hours. But, has also seen an uptrend of over 18% in the past seven days.

Furthermore, Polygon Labs stated that the firm will provide three months of severance pay for those affected by the decision. In addition, this would be provided to the former employees irrespective of their level and tenure.

Polygon Labs’ decision comes days before zkEVM Mainnet launch

Notably, Polygon Labs has decided to reduce its staff counts right before the launch much-awaited launch of zkEVM Mainnet. The launch is set to take place on March 27, 2023. Moreover, the co-founder of Polygon – Sandeep Nailwal – recently posted an update on Gains Network, a DeFi ecosystem of products on Polygon and Arbitrum.

The network would diversify Polygon’s offerings with its low trading fees. Gains Network recently marked a milestone with its trade volume surpassing $25 billion.