Polygon Labs has laid off 60 employees as part of a major organizational shift following its $250 million acquisition of Coinme and Sequence.
Quick Summary – TLDR:
- Polygon Labs laid off 60 staff in a restructuring move tied to recent acquisitions.
- The company denies reports of a 30% workforce reduction, saying overall headcount remains stable.
- Polygon is shifting from infrastructure to a payments-first blockchain strategy.
- Acquisitions of Coinme and Sequence bolster Polygon’s push into regulated stablecoin payments.
What Happened?
Polygon Labs has confirmed it has cut 60 roles as part of a company-wide restructuring following its high-profile acquisition of Coinme and Sequence for more than $250 million. While early reports suggested a 30% workforce reduction, Polygon clarified that the layoffs were about role overlaps, not downsizing. The company’s overall headcount remains close to 200 employees, despite the changes.
🚨POLYGON CUTS 30% OF STAFF IN MAJOR RESTRUCTURING
— Coin Bureau (@coinbureau) January 16, 2026
The layoffs come as Polygon reshapes its business and shifts focus toward stablecoin payments. pic.twitter.com/fCuU0Z4pq6
Restructuring After Acquisitions
The layoffs came shortly after Polygon Labs completed its acquisitions of Coinme, a regulated US-based crypto payments firm, and Sequence, a provider of wallet and cross-chain payment infrastructure. These moves are part of Polygon’s broader strategy shift toward stablecoin-powered, on-chain payments.
- The two acquisitions equip Polygon with money-transmitter licenses, fiat on- and off-ramps, and a full suite of payment tools.
- These assets now form the foundation of Polygon’s new Open Money Stack, a system aimed at streamlining stablecoin transactions for fintechs, banks, and enterprise users.
According to Polygon CEO Marc Boiron, the integration of Coinme and Sequence teams created overlapping roles, prompting the company to consolidate positions rather than expand unnecessarily. In a post on X (formerly Twitter), Boiron stated, “We’ve spent the past few months sharpening our focus around a single mission: moving all money on-chain.”
Layoffs Tied to Strategic Shift
This marks the third round of layoffs for Polygon in as many years:
- In 2023, Polygon cut 100 jobs (20% of staff) as it merged business units.
- In February 2024, another 60 employees were let go to improve efficiency.
- The latest cuts, though smaller in number, reflect a clear pivot away from DeFi scaling tools toward a payments-first focus.
Despite these reductions, Polygon emphasized that the goal was to keep overall numbers steady while aligning talent with its new business direction. Kurt Patat, Head of Communications at Polygon Labs, told BeInCrypto, “With the addition of the Coinme and Sequence teams, overall headcount is expected to remain roughly even.”
Technical Developments
Alongside the organizational overhaul, Polygon continues to push upgrades to its Layer 2 network. The recent Madhugiri upgrade has increased throughput, preparing the chain for higher transaction volumes as demand for on-chain payments grows.
SQ Magazine Takeaway
Honestly, I think this move by Polygon makes a lot of sense in the long run. We’re watching them evolve from just another Ethereum scaling solution into a serious player in the on-chain payments space. Cutting jobs is never easy, but Polygon seems to be playing the long game here. By snapping up regulated firms like Coinme and tech-savvy teams like Sequence, they’re building the rails for the future of money. And if they execute well, that could be huge. I’ll be watching closely.
