Sonic Labs saw its native S token fall 5% Tuesday after the company disclosed that three board members — including co-founder Andre Cronje — had stepped down. The departures come just months after former CEO Mitchell Demeter resigned in February, and the firm has already named a replacement.
Board exodus
Andre Cronje, Michael Kong, and David Richardson all left the Sonic Labs board, the company confirmed. Cronje is a well-known figure in decentralized finance, having previously founded Yearn Finance and Fantom. The reasons for the resignations were not disclosed, and the company did not immediately respond to a request for comment.
New CEO takes over
Matt Visser has been appointed as Sonic Labs' new chief executive, effective immediately. He takes over after Mitchell Demeter resigned as CEO in February. Visser has been involved with the project in various capacities, but this marks his first time leading the firm. The board seats left vacant by Cronje, Kong, and Richardson have not yet been filled.
Token reaction
The S token dropped roughly 5% on the news, trading around $0.42 at press time. The decline adds to a broader pullback for the token, which is down more than 30% over the past month. Trading volumes spiked after the announcement, suggesting investors were reacting to the leadership changes.
Sonic Labs operates a layer-1 blockchain focused on gaming and DeFi applications. The company has not released a statement on whether the board resignations will affect its product roadmap or development timeline.
The next publicly scheduled event is a community call planned for later this month, where Visser is expected to address the changes.
