A social token platform built on the Ethereum network, Rally, has hit rock bottom. This follows an announcement by the company Tuesday.
The news came via an email to the Rally community saying that the platform’s sidechain would be disabled on January 31.
“As most of you are aware, 2022 was a challenging year not only for the platform, but also for the entire crypto industry,” Rally said in the announcement. “The team has worked relentlessly to try to find a path forward, however, the challenges and macro headwinds are too overwhelming to overcome in the current environment.”
Rally was launched in 2018 as an Ethereum-based platform for creators to launch social tokens, which lets social media personalities, bands, and esports teams engage with and monetize their communities.
The creators were advised to enlist their fans and followers to support them by purchasing their Rally tokens, rewarding holders with various perks.
The underlying RLY token value peaked at $1.38 in April 2021 but has since declined. Last August, withdrawals were halted, and RLY has been trading at around $0.01 since October 2022.
Rally says that the decision to shut down the sidechain means that the NFTs hosted there will no longer be supported, warning collectors that they may experience “a degradation in services” and that NFTs may not work.