Yuga Labs, the company behind the popular Bored Ape Yacht Club, is undergoing another restructuring in response to market changes. CEO Greg Solano described it as a challenging day, especially for employees who learned about layoffs during a company-wide meeting. Solano took over as CEO two months ago with the goal of reassessing the company's operations.

Solano found that the company's original creative-driven approach was getting bogged down by complex corporate processes, leading to excessive planning and reduced production. While creator royalties were once thriving, the company is now facing difficulties. However, Solano reassured that a plan is already in motion.

He outlined several actions already taken, including the spinout of HV-MTL and Legends of the Mara. Yuga also delegated game development responsibilities to Faraway, a partner company. Additionally, the company's chief gaming officer, Spencer Tucker, along with the mentioned properties, joined Faraway. Moving forward, Yuga's primary focus will be on developing the Otherside metaverse project.

Amid the ongoing restructuring, Won Kim announced his appointment as Yuga's head of Brand partnerships. Kim transitioned from his role as a co-founder at the Bored Room Ventures NFT fund and consulting agency to join Yuga.

The crypto community had a mixed response to Yuga's layoffs. While many expressed support for Solano's actions, others, including someone claiming to be among the laid-off employees identified as Ricefarmer, criticized the move. Yuga Labs, known for its pioneering NFT collectibles, previously underwent restructuring and layoffs in October due to market changes. The company declined to provide further comments on the matter.