Eclipse Labs Undergoes Major Restructuring with 65% Staff Cuts and Leadership Change

Eclipse Labs, a LAYER 2 blockchain developer, has announced a significant restructuring, including a 65% reduction in its workforce and the appointment of Sydney Huang as CEO. The move follows the departure of former CEO Vijay Chetty and signals a strategic pivot toward consumer-facing applications.

The company's native ES token has plummeted 65% since its July launch post-TGE, reflecting market turbulence. Despite layoffs, Eclipse will maintain its Layer 2 infrastructure while shifting focus to end-user applications—a calculated bet on adoption over pure infrastructure development.

Huang's promotion from Product Lead underscores Eclipse's renewed emphasis on product execution. The restructuring affects 40 employees across engineering, product, and operations—a stark realignment for a project once touted as a rising star in modular blockchain architecture.