The Sandbox Founders Exit as Animoca Gains Full Control in Major Overhaul

In a major shake-up, The Sandbox, a leading blockchain-based metaverse platform, is undergoing a transformative restructuring as co-founders Sébastien Borget and Arthur Madrid step back from operational roles, with Animoca Brands assuming full control. Announced on August 28, 2025, the overhaul includes over 50% staff layoffs (approximately 125 of 250 employees) and closures of offices in Argentina, Uruguay, South Korea, Thailand, Turkey, and Lyon, France, as reported by The Big Whale. Robby Yung, Animoca’s CEO, has been appointed as The Sandbox’s new CEO, while Borget transitions to a global ambassador role and Madrid to non-executive chairman.

The move follows a decline in metaverse interest, with The Sandbox’s valuation dropping from $4 billion in 2022 to $1 billion in 2024, and its SAND token plummeting 95% from $8 to $0.30. Daily active users have dwindled to a few hundred, with unverified claims suggesting many are automated accounts. Animoca is pivoting the platform from its original metaverse focus to Web3 applications, including a potential memecoin launchpad, aligning with the token’s surge since 2024. This strategic shift, coupled with a $100–$300 million crypto treasury from 2021 land sales, may support Animoca’s rumored Hong Kong IPO plans.

Despite challenges, The Sandbox retains strong community engagement, with 580,000 unique players in Alpha Season 4. The restructuring aims to streamline operations using advanced tools, but risks alienating purists wary of the memecoin pivot. As Animoca drives innovation, the platform’s future hinges on balancing its metaverse roots with emerging Web3 opportunities.