Analyzing Polygon’s eventful 2022 as layoffs raise questions

  • Polygon Labs has lowered its workforce by 20%.
  • A brand new report confirmed a gradual decline in community income in 2022.

Polygon Labs, the developer firm behind main sidechain Polygon [MATIC], announced on 21 February that, firstly of the 12 months, the corporate consolidated a number of enterprise models, which resulted in a 20% discount in its staff.

Is your portfolio inexperienced? Examine the MATIC Revenue Calculator

Whereas 2022 remained a considerably bearish 12 months that noticed the collapse of many crypto tasks, in February final 12 months, Polygon Labs accomplished its first main financing spherical of $450 million.

As reportedthe personal token occasion noticed the involvement of quite a lot of traders, together with Tiger World, SoftBank, Galaxy Digital, Republic Capital, Makers Fund, Alameda Analysis, Alan Howard, Dune Ventures, Seven Seven Six (based by Alexis Ohanian), Steadview Capital, Unacademy, Elevation Capital, Animoca Manufacturers, Spartan Fund, Dragonfly Capital, Variant Fund, Sino World Capital, and Kevin O’Leary.

Nonetheless, a take a look at the funding historical past and the present state of the community’s treasury has led many to query the staff’s monetary standing. 

Customers flock to community in This autumn 2022, however income remained elusive

In a 21 February report launched by Messari, Polygon skilled a surge in person exercise over the past quarter of 2022. Nonetheless, regardless of the elevated person engagement, the platform logged a notable decline in income.

The hike in person exercise was partly due to the launch of Polygon’s zero knowledge-EVM public testnet in October. Based on the report, through the 90-day interval, the rely of day by day energetic addresses on the community jumped by 55%, bringing the year-over-year enhance to 23%.

Equally, 32.59 million new addresses had been created on Polygon between 1 October – 31 December. This culminated in a 34.2% hike within the new addresses on the chain from the 24.29 million new addresses recorded in Q3 2022.

Additional, through the interval beneath overview, the community recorded 262.47 million accomplished transactions, in line with Messari. This highlighted the numerous quantity of exercise on the community and advised a rising demand for Polygon’s providers.

Sensible or not, right here’s MATIC market cap in BTC’s phrases

Nonetheless, as the final state of the market put stress on MATIC’s worth, the token’s worth fell, leading to a decline in common transaction charges. In consequence, per Messari, the typical transaction charge on the community fell by 73% in Q3 2022.

Supply: Messari

Lastly, Polygon’s financials for the newest quarter confirmed a complete income of $3.91 million, in line with the report. This determine represented a big decline in comparison with the $10 million income that the sidechain community recorded through the first quarter of 2022.

Supply: Messari

Subscribe to our mailing list to receive new updates and special offers

We don’t spam! Read our [link]privacy policy[/link] for more info.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
You have not selected any currencies to display