Polygon has reportedly trimmed its workforce by approximately 30% as it pivots towards a stablecoin-focused strategy, following its $250 million acquisition of Coinme and Sequence. While Polygon has not issued a formal announcement, CEO Marc Boiron confirmed the layoffs. The workforce reduction is reportedly part of a broader restructuring to integrate the acquired companies and focus on Polygon's new "Open Money Stack" initiative.
The "Open Money Stack" is a vertically integrated system designed for regulated stablecoin payments and on-chain money movement. It leverages Coinme's regulated fiat-to-crypto on-ramps and Sequence's wallet and cross-chain payment infrastructure. Polygon aims to provide open infrastructure for financial services, targeting banks and payment companies. The goal is to enable faster and cheaper global commerce through stablecoin payments, with settlements occurring in seconds rather than days. This system will allow funds to move across borders without correspondent banks or cut-off times, ensuring that money remains usable on-chain immediately upon arrival.
This strategic shift comes as Polygon faces increasing competition in the Layer 2 market, particularly from Coinbase's Base. By focusing on stablecoin payments, Polygon aims to differentiate itself and capture a share of the growing stablecoin market, which has seen increased regulatory clarity following the passage of the Genius Act in 2025. Polygon's strategy includes collaborating with existing payment leaders rather than direct competition, with CEO Marc Boiron emphasizing the potential for long-term growth through partnerships.
The acquisition of Coinme and Sequence is intended to enhance Polygon's capabilities in stablecoin payments by providing regulated payment infrastructure and cross-chain capabilities. Coinme operates a network of cryptocurrency ATMs in the U.S., while Sequence offers wallet infrastructure and cross-chain routing. These acquisitions provide Polygon with money transfer licenses in 48 U.S. states, opening the door to financial services compliant with KYC (Know Your Customer) and AML (Anti-Money Laundering) standards.
The workforce reduction reflects Polygon's strategic pivot to stabilize and scale its stablecoin infrastructure. Kurt Patat, Head of Comms from Polygon Labs, stated that the layoffs are part of post-acquisition integration, and overall headcount is expected to remain roughly even. The company is prioritizing the integration of new infrastructure and focusing on regulated payment solutions to compete in the stablecoin market.
The restructuring news coincides with South Korea's increased scrutiny of crypto platforms, requiring crypto exchange apps to submit proof of FIU VASP registration by January 28, 2026, or risk delisting. This regulatory pressure highlights the importance of compliance and sustainable business models in the evolving crypto industry.
