Yuga Labs Restructures, Cuts Staff

Yuga Labs, the creator of Bored Ape Yacht Club NFTs, announces a restructuring and layoffs as CEO Greg Solano aims to transform the company by reducing its workforce and embracing crypto-native roots. Solano emphasizes the difficult decision of parting with talented employees to establish a leaner and more agile team. Amidst challenges such as investor lawsuits and project delays, Yuga intends to prioritize its Otherside video game for its gaming pursuits.

Yuga Labs Undergoes Restructuring, Lays Off Employees

Miami, Florida - Yuga Labs Inc., the creator of the highly sought-after Bored Ape Yacht Club non-fungible token (NFT) collection, has embarked on a restructuring process that has resulted in an undisclosed number of employee layoffs.

In a social media post on platform X, CEO Greg Solano, known by the pseudonym "Gargamel," expressed his determination to reshape the company, acknowledging the difficult decision to dismiss valued team members.

"Yuga lost its way," Solano wrote in the post. "Getting ourselves centered and on the right path means being a smaller, more agile and cryptonative team."

A Yuga spokesperson confirmed the authenticity of the tweet but declined to provide further details.

This restructuring represents the latest significant shift for Yuga Labs. In February, Solano, a co-founder of the company, resumed his role as CEO, succeeding former Activision Blizzard Chief Operating Officer Daniel Alegre. Solano had previously stated his intention to return the company to its crypto roots.

Yuga Labs, which raised $450 million in funding in 2022 at a valuation of $4 billion, has faced recent criticism over a controversial token project and has been the subject of a lawsuit filed by investors who allege that the company and its celebrity promoters misled them into purchasing Bored Ape NFTs without disclosing that they were compensated for promoting the tokens.

Furthermore, the company has encountered numerous delays in the launch of its eagerly anticipated Otherside video game, which is inspired by the Bored Ape universe. In his message to employees on Friday, Solano indicated that Yuga Labs would prioritize the development of "3D Otherside" and would provide updates on other gaming plans in the near future.

This restructuring marks a significant departure for Yuga Labs and is likely to have a notable impact on the direction of the company. As it navigates these changes, Yuga Labs will need to balance its commitment to its loyal community and its need for financial prudence in the face of uncertain market conditions.