The Sandbox Cuts Half of Its Staff, Restructures as Animoca Brands Take Control
Animoca Brands has officially stepped in to lead The Sandbox following a major restructuring effort that significantly reduces its workforce and closes several offices worldwide. The move marks a turning point for the metaverse developer, which has been closely tied to Animoca since its early days. By streamlining operations, the company aims to adapt to current market conditions and strengthen its long-term vision despite the broader slowdown in the virtual world sector.
This reset comes as The Sandbox faces declining daily active users and weak performance of its native tokens, a stark contrast to the excitement during the 2021 virtual-land boom. With Animoca taking direct control, the focus now shifts toward reviving growth, stabilizing the platform, and positioning The Sandbox for renewed relevance in an evolving metaverse economy.
Restructuring at a glance
According to reports, over 50% of 250 employees face layoffs, and hubs in Argentina, Uruguay, South Korea, Thailand, and Turkey are slated to close, with the Lyon base expected to wind down. Co-founders Arthur Madrid and Sébastien Borget have ceded executive duties to Animoca Brands’ CEO Yat Siu.
Users and token metrics
Despite raising hundreds of millions, The Sandbox has struggled to convert hype into sticky engagement. Sources say daily active users number in the hundreds, with bot activity notable across South America. The SAND token’s market cap has fallen from a 2021 peak near $6.2 billion to roughly $700 million.
Treasury and governance
A central question is the fate of a crypto treasury estimated between $100 million and $300 million, much of it from 2021 virtual-land sales. Any allocation could go to a governance vote, though only 291 votes were cast across three August proposals. The Sandbox layoffs 2025 will likely keep treasury control in focus.
What it means for builders and holders
With Animoca assuming direct oversight, management and cost centers are being consolidated under a slimmer plan to extend runway while refocusing on viable partner activations. The company did not immediately comment. Investors, creators, and landholders will watch how hiring, publishing priorities, and governance evolve as The Sandbox layoffs 2025 ripple through the roadmap and community sentiment.
Final Words
The Sandbox is entering a crucial make-or-break stage, where the success of its future will depend on sharp execution, stronger user engagement, and disciplined treasury management. After years of rapid growth followed by slowdown, the platform must now prove it can adapt and deliver a sustainable model that goes beyond the hype of the virtual land boom. The restructuring and new leadership under Animoca Brands reflect a decisive effort to realign priorities and focus on long-term stability.
At the center of this transition are The Sandbox layoffs 2025, which highlight both the challenges and opportunities facing the project. By adopting a leaner structure, the metaverse platform aims to rebuild momentum and restore confidence among users, investors, and partners. Its ability to balance efficiency with innovation will determine whether it thrives in the next phase.
FAQs
Q1 . What triggered The Sandbox layoffs 2025?
A . Animoca’s takeover follows weak user growth, office consolidation, and a push to streamline costs after the metaverse peak, making The Sandbox layoffs 2025 the pivot point.
Q2 . Which regions are impacted by The Sandbox layoffs 2025?
A . Reports flag closures across Argentina, Uruguay, South Korea, Thailand, Turkey, and the Lyon base as part of The Sandbox layoffs 2025.
Q3 . How does the SAND price factor into The Sandbox layoffs 2025?
A . A steep drawdown from 2021 highs and thin engagement helped drive The Sandbox layoffs 2025 as leadership refocuses on sustainable usage.
Q4 . What happens to the treasury after The Sandbox layoffs 2025?
A . A $100M–$300M crypto treasury—largely from virtual-land sales—may face governance votes, with The Sandbox layoffs 2025 keeping scrutiny high.
Q5 . Who is leading after The Sandbox layoffs 2025?
A . Animoca Brands CEO Yat Siu is now overseeing executive functions at The Sandbox following The Sandbox layoffs 2025.