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- 1 Recur, the NFT platform decided to shut down despite raising $50 Million in a series A funding round.
- 2 The closure of the platform will begin in phases, primary and secondary sales disabled by August 18.
Recur, the latest NFT-centered platform with a big-name partnership announced its closure despite making $50 Million in a series A funding round. The news completely stirred the NFT landscape, disappointing many of the NFT enthusiasts. The platform also announced that the closure will begin in phases with disabling of sales on August 18 and the cessation of all sites by November 16.
All About Recur Platform
Recur is an NFT platform that leverages blockchain to link brands to the fans in an engaging NFT experience. The platform was introduced on 9 December 2021 and closed its last funding round on September 13, 2021, from a Series A round. The company recently announced its shut down despite raising $50 Million in a series A funding round. Within two years of time, the company decided to close all its functions. However, the closing will take place in phases to make it feasible to the users.
The first phase of the same began on August 18 with the disabling of primary and secondary sales. The new user account creation has been stopped already and the remaining of the site will be disabled by November 16, 2023. For customer safety purposes, the platform instructed users to withdraw NFTs and cash the redeemable balances. The key aspect of shutting down the platform is the migration of the Recur platform to the InterPlanetary File system, a decentralized storage protocol that allows data to be retrieved.
In addition, it is ensured that the information stored on the platform will be accessible even after the platform’s closure. The platform was considered to be one of the best platforms for creating in-game assets, digital collectibles, and loyalty programs.
Why is the NFT Platform Closing?
The decision of closing the platform after the fundraising success just shocked the NFT landscape. This all happened after raising a $5 Million seed round and the $50 Million Series A funding at a valuation of $333 Million.
“Within the next few months, the Recur platform will lose all its core features”, stated the company in a blog post. In Addition, the firm also revealed that the decision was not easy to Recur and is confirmed due to some unexpected challenges. Recur does not reveal any specific reason for the platform disclosure. But, the team cited some unforeseen issues and shifts in the business environment. The downturn of the NFT marketplace in recent years can be one of the major causes behind the same.
According to CryptoSalm, the decline of the total NFT value sales on Ethereum from $4.9 Billion in January 2022 to $272 Million in July 2023 can be a reason for the shutting down of the recur platform.
Conclusion
Recur, the NFT-centered platform announced its closure due to some of the unforeseen challenges. The announcement was made just after the platform raised $50 Million in a series A funding round. In addition, the closing procedure of the platform will begin in phases. Firstly, the primary and secondary sales of NFT were disabled over the platform from August 18 and the cessation of all sites will be done by November 16.
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.
