Yuga Labs, the company behind the iconic Bored Ape Yacht Club NFTs, has announced a significant restructuring plan aimed at refocusing on its core crypto-native projects and streamlining operations. The announcement was made by Greg Solano, the co-founder and recently returned CEO, through a series of posts on Twitter and the company's internal Slack channel.

The primary objective of this restructuring is to realign Yuga Labs with its foundational values and operational agility. As the market for digital assets undergoes rapid shifts, Solano has emphasized the need for a leaner, more agile team dedicated to the company's crypto-native roots.

The restructuring plan will involve another round of layoffs following the cuts made last October. While the exact number of affected positions has not been disclosed, the decision is part of a broader downsizing strategy aimed at improving operational efficiency.

Solano's vision is to transform Yuga Labs back into the innovative and nimble company it was at its inception, when it operated with a small but highly effective team capable of making quick decisions and taking decisive actions.

The need for restructuring stems from a period of rapid growth, during which Yuga Labs underwent severe expansion. After raising $450 million at a $4 billion valuation in March 2022, the company encountered changes in market dynamics, including a decrease in the value of ApeCoin and a general bearish trend in the NFT market.

Additionally, the company's ambitious gaming venture, Otherside, faced delays and negative reception, prompting a reevaluation of its direction in this field.

Solano's recent messages suggest that the previous growth phase led to a gradual dilution of the company's creative essence, with complex corporate procedures overshadowing the original innovative spirit. This shift towards a planning-dominated approach is something Solano aims to rectify through the current reorganization.

As part of this process, Yuga Labs plans to shed some of its broader aspirations and non-core projects, such as the sale of certain gaming IPs. Instead, the company will concentrate on its core areas, which will serve as the foundation for future growth without the burden of an oversized operational structure.

By refocusing on its crypto-native roots and streamlining operations, Yuga Labs aims to regain the agility and innovation that initially propelled it to success. This strategic restructuring underscores the company's commitment to adapting to evolving market conditions while remaining true to its foundational values and objectives.