# L2 Developer Eclipse Labs Slashes 65% of Staff

*Author: Bankless*
*Published: Aug 26, 2025*
*Source: https://www.bankless.com/read/l2eclipse-labs-slashes-65-of-staff*

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Eclipse Labs replaced its CEO and laid off 65% of its workforce as the startup publicly signaled a strategy shift toward development of consumer-facing applications on its Ethereum-connected Layer 2 chain.

### What’s the Scoop?
- **Leadership Change:** Product Lead Sydney Huang (aka 0xSydney) replaced Vijay Chetty as CEO following Chetty’s voluntary departure.
- **New Direction:** Eclipse will prioritize building a flagship app on its Solana VM-based L2, pivoting away from pure infrastructure.
- **Token Drop Fallout:** The announcement comes just weeks after Eclipse's token launch, with the ES token down over 65% from its TGE.
- **Chain Still Active:** Despite layoffs, Eclipse says it will continue improving its core rollup while reallocating resources to in-house development.

> Today, Eclipse Labs announced team and leadership changes to align with a new direction post-TGE. Over the past months, we’ve explored opportunities for application development on the network. Going forward, we’ll prioritize building a breakout application on top of Eclipse’s L2…— Eclipse (🐮,🌑) (@EclipseFND) [August 25, 2025](https://twitter.com/EclipseFND/status/1960013657116684769?ref_src=twsrc%5Etfw)
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