• Sky Mavis lays off 50 staff to streamline operations for future development.
• Layoffs are a strategic transfer, not because of monetary instability or poor efficiency.
• Axie Infinity’s token AXS dropped by 3.78% after the information however later recovered.

Sky Mavis, the developer behind the favored blockchain-based sport Axie Infinity, has introduced the layoff of 21% of its workforce, translating to roughly 50 staff.

This determination is a part of the corporate’s broader efforts to streamline its operations and deal with its core merchandise.

Layoff isn’t a results of monetary instability

Co-founder and CEO Nguyen Thanh Trung took to X (previously Twitter) to make clear that the layoffs had been a strategic transfer aimed toward positioning the corporate for future development. He emphasised that the choice was not a results of monetary instability, however relatively a realignment of sources to raised align with the corporate’s long-term imaginative and prescient.

Trung famous that the layoffs weren’t a mirrored image of the staff’ contributions to Sky Mavis, however had been as an alternative mandatory to make sure the corporate’s agility because it focuses on key initiatives for 2025 and past.

“The decision to part ways with talented team members was not made lightly,” Trung mentioned. He defined that the transfer would assist the corporate consider vital tasks, together with the upcoming launch of the Ronin blockchain in Q1 2025, and enlargement efforts for the Ronin Pockets and Ronin Community.

Sky Mavis goals to stay targeted on the blockchain gaming area, doubling down on what makes the corporate “truly exceptional” relatively than diversifying into new areas.

Sky Mavis’ restructuring efforts come after a tumultuous interval, together with a devastating hack in 2022 that resulted in a $600 million loss. This led the corporate to shift from its authentic play-to-earn mannequin to a free-to-play construction.

Regardless of these challenges, Sky Mavis is sustaining its dedication to the Web3 ecosystem, persevering with to develop Axie Infinity and different merchandise inside the Ronin community.

Following the announcement, the price of Axie Infinity’s native token, AXS, noticed a notable decline of three.78% to $7.18 nevertheless it has since recovered and climbed to $8.17 at press time.

This information displays the rising stress on blockchain gaming firms to adapt to the evolving market whereas making certain monetary sustainability and product relevance.