Recur Begins Structured Shutdown
NFT giant Recur has announced a phased cessation of its platform operations. With a suspension of primary and secondary sales set for Aug. 18, 2023, the platform’s curtains will draw to a close.
Registrations Halted, Complete Shutdown by November
New user registrations have already been put to a halt. However, Recur is making sure users aren’t left in the dark. By Nov. 16, 2023, all site functionalities will be turned off, but not before ensuring users have enough time to manage their digital assets.
Guidelines for User Asset Withdrawal
Recur has released a detailed guide to aid users in withdrawing their NFTs. Also, there are clear steps for the redemption of any remaining platform balances. A major highlight of this closure process is the shift of metadata for NFTs minted on Recur to the InterPlanetary File System (IPFS).
Ensuring Data Accessibility through IPFS
Transitioning to IPFS, a decentralized storage protocol, ensures that NFT-related data remains accessible. This ensures that the digital trail of users’ assets is intact, even in the aftermath of Recur’s closure.
Closure Amidst Successful Fundraising
The decision to shut down has left industry insiders puzzled. Recur’s journey saw significant investments, from a $5 million seed round to a whopping $50 million Series A funding, pushing its valuation to a staggering $333 million.
Why is Recur Shutting Down?
The exact reasons for Recur’s decision remain shrouded in mystery. However, the team has hinted at unforeseen challenges and shifts in the business landscape.
Wider NFT Market Woes
Recur’s announcement has not come in isolation. The broader NFT market has seen a notable decline. As per data from CryptoSlam, Ethereum-based NFT sales plummeted from a high of over $4.9 billion in January 2022 to a mere $272 million in July 2023, signaling challenges for the industry at large.
