eBay has cut more than 30% of its web3 team, raising questions about the e-commerce giant's commitment to NFTs after heavy investments in the space. The layoffs hit just a year and a half after eBay acquired Manchester-based NFT marketplace KnownOrigin in June 2022.
That acquisition brought KnownOrigin's team and tech into eBay's web3 division, following an earlier partnership with green web3 company OneOf on Music NFTs.
Founder Made Redundant
Two months after KnownOrigin, eBay dropped $295 million on trading card marketplace TCGplayer. But the recent cuts suggest a shift in strategy. Stef Jay, business and strategy officer of the web3 division, has resigned. David Moore, one of KnownOrigin's founders, was made redundant.
The relationship between eBay and KnownOrigin appears strained. eBay has paused all digital art plans.
Internal frustration is reportedly building over leadership and strategy decisions. Criticisms have surfaced at senior levels about the qualifications of the current web3 head and the broader strategy team.
The cuts could be a response to last year's crypto downturn. The NFT market, which peaked in 2021 and 2022, has cooled significantly. eBay and KnownOrigin did not respond to requests for comment.
