Axie Infinity creator Sky Mavis lays off 50 employees as part of broader efforts to adapt post-hack and market shifts.

Sky Mavis, the developer of the blockchain-based game Axie Infinity, said it will lay off 21% of its staff — or roughly 50 employees — as part of efforts to streamline operations and focus on core products, TechInAsia has learned.

The firm’s co-founder Nguyen Thanh Trung emphasized in an X post that the decision was not driven by financial pressures, reassuring that the decision is a “strategic move that allows for a sharper focus and positioning Sky Mavis for hypergrowth in 2025 and beyond.”

“The decision to part ways with talented team members was not made lightly and does not reflect their contributions to Sky Mavis. […] In order to better focus on these products and have the agility needed to open Ronin in Q1, we have made the tough decision to let go of 21% of our workforce.

Nguyen Thanh Trung

Trung also shared that Sky Mavis would not pursue new directions, stating, “rather than trying to build products for all users, we are doubling down on what makes Sky Mavis truly exceptional.” As a result, the game developer will focus on the Ronin wallet and expanding the Ronin Network “for more builders.” Following the news, the price of the Axie Infinity (AXS) token plunged 3.78%.

Founded in 2018, Sky Mavis operates a play-to-earn model where players purchase monsters as well as earn non-fungible tokens and in-game currency. In 2022, North Korea-affiliated hackers launched a multi-level social engineering attack on the company, leading to a $600 million loss. In response, Sky Mavis shifted to a free-to-play model.