- Yuga Labs is affected by the crypto winter chill as it prepares for a round of layoffs.
- Yuga Labs’ CEO admitted that their current structure wasn’t optimized for in-house development.
- Yuga Labs will be challenging its full focus towards its upcoming metaverse game, Otherside.
The unforgiving crypto winter has claimed yet another victim, with this time industry giant Yuga Labs feeling the chill. The masterminds behind blue-chip NFT project Bored Ape Yacht Club (BAYC) have reluctantly announced that they are preparing for a layoff round, citing the harsh conditions of the market and its struggles with optimization despite having successful campaign runs this year.
Yuga Labs Bites the Dust
On Friday, October 6, Yuga Labs CEO Daniel Alegre delivered somber news to his workforce, announcing the need for a company-wide restructure. Alegre emphasized the decision came after thoughtful consideration, as the firm recognized the necessity to streamline its operation, considering that many of its ongoing projects require execution and expertise beyond their core competencies.
Despite celebrating several successful initiatives and events this year, including Dookey Dash, Twelvefold, and more, Yuga Labs’ journey has not been without challenges, particularly in their gaming execution. Alegre admitted that their current structure wasn’t optimized for in-house development, leading to the inevitable restructuring.
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Acknowledging the challenging times for the crypto industry, Yuga Labs CEO Daniel Alegre shared:
It's a challenging time, not only for our industry but also for the global economy. We must stay focused on our core strengths as we continue to create unique, engaging experiences for the broader Yuga audience. The restructure today impacts US team members, and we are actively reviewing the impact on our international teams.
What’s Next for Yuga Labs?
Alegre shared that Yuga Labs is discontinuing projects that deviate from its core objectives, hence the unfortunate layoffs. The BAYC creator is now channeling its full focus towards its upcoming metaverse game, Otherside, with plans for development through third-party partnerships by 2024.
Yuga Labs also announced the merger of Meebits and 10KTF teams into the Otherside project, with a continued commitment to supporting the growth of initiatives like Made by Apes, aimed at empowering club members worldwide.
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While the number of affected employees remains undisclosed, Yuga Labs assured its team members of a comprehensive severance package, alongside various other perks.
On The Flipside
- Apecoin, Yuga Labs’ native token, has been on a consecutive decline, dropping by 83% this year to $1.10.
- Earlier this year, Otherdeed for the Otherside NFT collection plummeted to an all-time low of 0.609 ETH.
- Yuga Labs did not share any plans for its other games, such as Legends of the Mara and HV-MTL.
Why This Matters
Yuga Labs’ decision to cut down its team shapes a worrying trend for the overall industry, considering its scale and status.
Yuga Labs isn’t the only one feeling the effects of crypto winter:
USDT and DAI Resilient Against Shrinking Stablecoin Market
Read what Charles Hoskinson said to his critics:
Cardano Founder Hoskinson Claps Back At Claims of Dishonesty
