Axie Infinity developer Sky Mavis lays off 21% of employees

Sky Mavis, the developer known for launching the play-to-earn non-fungible token (NFT) game Axie Infinity, just let go of a significant portion of its workforce.

In a recent X post, Nguyen Thanh Trung — Sky Mavis co-founder wrote that the web3 game developer decided to lay off 21% of its workforce. He further claimed that the decision was not influenced by budget constraints or the company’s financial health:

“Instead, it is a strategic move that allows for a sharper focus and positioning Sky Mavis for hypergrowth in 2025 and beyond.”

Trung explained that Sky Mavis is now shifting and looking to align itself with its new long-term plan. This plan prioritizes the Ronin wallet, Mavis marketplace, Axie Infinity and a related new game, Web3 game publishing, and expanding the Ronin Network.

Axie Infinity is a leading web3 game that closed the biggest NFT sale in February 2021 for $1.5 million. Nine land plots in the game sold for over 888 Ethereum (ETH), which was worth about $1.5 million at the time.

The Ronin Network is an Ethereum layer-two focused on gaming applications. The network is connected to Ethereum through a bridge, which has been notably targeted by hackers multiple times — even by North Korea state-backed cybercrime groups. The network is accessible through the Ronin wallet, which Trung claims was downloaded 10 million times.

Trung also hinted that the changing regulatory environment would substantially impact Sky Mavis’ corporate strategy. This is likely a reaction to Republican candidate Donald Trump’s win in the United States presidential elections.

“As crypto-friendly policies gain traction, we anticipate a wave of innovation and adoption for utility-driven Web3 projects.”

The comments follow the Blockchain Association calling on Trump to prioritize crypto in his first 100 days in power. Among other things, the advocacy group asked the new government to end what is perceived as discrimination against crypto companies by the banking sector.

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