Rosie Perper
Rosie Perper is the Deputy Managing Editor for the Web3 news section, focusing on the metaverse, NFTs, DAOs and emerging technology like VR/AR. She has previously worked across breaking news, global finance, tech, culture and business. She holds a small amount of BTC and ETH and several NFTs.
Non-fungible token () marketplace Magic Eden on Monday announced that it would be laying off 22 members of its staff as part of a "company-wide restructuring."
In a message posted to Twitter, CEO and co-founder Jack Lu explained that the company needed to make changes to its team in order to reach new goals in 2023.
?? Today is a sad day at Magic Eden.
As part of a company-wide restructuring, we have made the difficult decision to part ways with 22 teammates. Nothing about this decision takes away from the talent, hardwork and dedication of this incredible group of people. pic.twitter.com/2LAGfK9dMV
— Jack Lu (@0xLeoInRio) February 14, 2023
"Just fifteen months ago, we were searching for product-market fit on Solana," Lu wrote. "Since then, our business has grown significantly and the nature of our challenges has evolved. Our focus areas for 2023 include growing traction across chains, developing services for NFT creators, and exploring new use cases like rewards and social experiences. As we established these priorities for the year, we had to take a hard look at what structure and roles are needed. To be clear-eyed, addressing our strategic goals requires making changes to our team. In order to reach our goals, our team must encompass certain types of new skills and expertise without losing momentum."
Lu said that many of the platform's products are "entering new stages of growth" and pledged to help affected employees during their transition.
The leading Solana-based NFT marketplace has taken a hit as the price of SOL has fallen sharply over the past year. In response, it has expanded support for Ethereum and Polygon-based NFTs to help it stay competitive against marketplaces like OpenSea.
Late last year, the company became embroiled in the debate over creator royalties, switching to a royalty-optional model, which led to a temporary dip in trading volumes.
Several other NFT platforms have downsized in recent months as the ongoing crypto winter continues to chill market movement. Last month, NFT marketplace SuperRare cut its staff by 30% while OPENSEA laid off roughly 20% of its staff in July 2022.
