TL;DR
- Sandeep Nailwal takes over as CEO of the Polygon Foundation to restore operational agility and tackle the growing fragmentation among Layer-2 solutions.
- Polygon will focus its resources on AggLayer, digital payments, and tokenized real-world assets, discarding any projects that don’t directly impact these areas.
- The decision comes in response to slower decision-making processes and the need to reset priorities amid growing uncertainty around Ethereum’s roadmap.
Sandeep Nailwal, co-founder of Polygon, has been appointed CEO of the foundation responsible for overseeing the protocol’s development.
The move aims to speed up decision-making as competition intensifies, with the Layer-2 ecosystem on Ethereum becoming increasingly fragmented. Nailwal explained that the organization had become too slow, overly institutionalized, and decentralized in its structure, which limited its ability to react in recent months.
Polygon was created as a tool to lower transaction costs and times on Ethereum. During the bull run of 2021 and 2022, it raised $450 million in a token sale led by Sequoia Capital India and pushed its POL token to record highs. However, with falling prices and a more demanding market, the project now faces the challenge of regaining operational speed and setting clearer priorities.
Polygon Sets Clear Goals and Cuts Distractions
The new CEO made it clear that Polygon will prioritize the development of AggLayer, an application that enables users to connect efficiently with multiple blockchains. It will also focus resources on products tied to digital payments and tokenized real-world assets, two sectors that have gained popularity and profitability in recent quarters. Any initiative falling outside this focus will be discontinued or spun off to avoid distractions and reduce the dilution of efforts.
Another factor behind this leadership change is the uncertainty within the Ethereum community about its growth strategy. The network had relied heavily on Layer-2 solutions like Polygon for scaling, but recent adjustments to its roadmap forced a reassessment of plans and a reset of priorities. Nailwal stated that the project must return to a startup mindset, where decisions are made quickly and with a clear direction.
The appointment also marks Nailwal’s return to active, day-to-day management after focusing on Sentient Labs, his artificial intelligence startup, which raised $85 million last year from investors including Founders Fund.
