The harsh conditions of 2022 have negatively affected many crypto money projects. Some Bitcoin and altcoin platforms are laying off some of their employees. Others are directly shutting down their operations. Most recently, an altcoin project made a statement in this direction. Here are the details…
Rally suspends operations
Social token platform Rally announced on Tuesday that it is abandoning Ethereum side-chains. He then warned users and said that cryptocurrencies could be “trapped” on the platform. “As NFTs on the Rally side-chain cannot be transferred to the mainnet, they will not be accessible after the site is shut down,” Rally said. It also said that the site will “no longer be supported” after Tuesday. Rally cited the “challenging year” and “macro headwinds” of 2022 as “too overwhelming to handle in the current environment”. In the project description, he used the following statements:
2022 has been a challenging year, not just for the platform, but for the entire crypto industry. The team has worked relentlessly to try to find a way forward, but the challenges and macro headwinds are too overwhelming to handle in the current environment.
Altcoin price has crashed 93 percent this year
The news that Rally will be shutting down first emerged when Rally users on various platforms drew attention to the situation. Users have reported on social media platforms that Rally said the platform’s side-chain will “go to shutdown” after January 31, and users will not be able to access NFTs once the site is completely shut down. The developers of the site did not say that they will offer another way forward in the future. However, they implied that they could create “leaner web3 experiences and/or products on the mainnet”.
The startup last raised $57 million from investors in 2021. Rally’s token, RLY, has dropped 93 percent since January 31, 2022, according to the data. On a daily basis, more than 10% depreciation was observed. The cryptocurrency has dropped from $0.0175 to $0.013 in the last seven days. At the time of writing, it is changing hands at $0.0135. The cryptocurrency has dropped 99 percent since its high of $1.40 on March 31, 2021. It recorded its all-time high on December 30, 2022, about a month ago. The coin changed hands at $0.0072 at the time.
As we reported on Kriptokoin.com, Rally made it easy for creators and artists to start their own social token projects and build independent communities directly on the platform. There was a time when social tokens came to the fore, at that time Rally was one of the exemplary projects in this niche. However, it is unknown what the cryptocurrency space will bring to investors and projects. It is important for every investor to make their investment in line with their own research in this variable field.
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