Key Takeaways
- Over half of The Sandbox’s 250 employees are being laid off.
- Co-founders Arthur Madrid and Sébastien Borget are stepping back from day-to-day management.
- The Sandbox is shifting away from a pure metaverse focus toward broader Web3 initiatives.
The Sandbox, the blockchain-based metaverse platform, is reportedly cutting half of its staff in a major restructuring, according to Big Whale.
It comes as co-founders Arthur Madrid and Sébastien Borget have reportedly stepped back from day-to-day management, with Animoca Brands executive Robby Yung taking over as CEO.
Major Staff Cuts In Sandbox Metaverse
According to the report from Big Whale, over half of the roughly 250 employees counted at the start of 2025 are expected to be impacted, making up approximately half of the workforce.
Staff across teams based in Argentina, Uruguay, South Korea, Thailand, and Turkey will reportedly be affected.
An office in Lyon, France, will also be closing.
The restructuring is being framed as a decision based on new technology that has allowed for a smaller team.
“The impact of AI advancements in the gaming industry has been well documented: AI allows us to accelerate deployment of content, features, and LiveOps while maintaining a leaner, more agile team,” the firm wrote on X.
“Additionally, The Sandbox will benefit from the closer integration of resources and shared services from Animoca Brands.”
The Sandbox added that the changes were “necessary for us to adapt to technological advances and ensure The Sandbox’s long-term success.”
Leadership Shake-Up
Animoca has reportedly removed Madrid and Borget from the day-to-day leadership of the company.
Borget is expected to focus on representing the platform externally, with Madrid assuming a non-executive chairman role.
Borget told Big Whale: “I remain the person who best represents The Sandbox globally.”
Yung, CEO of Investments at Animoca Brands, has been appointed as CEO.
A Move From the Metaverse
The Sandbox is also reportedly moving away from a pure metaverse focus, exploring broader Web3 initiatives.
Plans are said to include a memecoin launch platform built on the Base blockchain.
An investor told the publication the pivot is in response to market pressures, stating: “The context has evolved and the project has to evolve.”
Metaverse funding and revenue have slowed considerably since their peak in 2021.
In the first quarter of 2025, Meta’s Reality Labs division reported another $4.2 billion in losses.
Meta’s Chief Technology Officer, Andrew Bosworth, said in February that 2025 was the most pivotal year yet to prove the viability of the metaverse.
In a leaked internal memo obtained by Business Insider, Bosworth added that the year was the “most critical” to determine whether the metaverse would be remembered as a visionary feat or a legendary misadventure.
“We need to drive sales, retention, and engagement across the board but especially in mixed reality,” he wrote in an internal work forum.
“And Horizon Worlds on mobile absolutely has to break out for our long-term plans to have a chance. If you don’t feel the weight of history on you, then you aren’t paying attention.”
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Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
