The Rally social platform has shut down its Ethereum NFT sidechain due to challenging market conditions, according to a statement from the company.
Rally CEO Rob Collier stated that the sidechain, which allowed users to create social tokens for various groups, was expensive to maintain and that the challenges and macro headwinds in the crypto industry were too overwhelming to overcome.
There was a disruption in the withdrawal services last year and NFTs on the sidechain cannot be transferred to the mainnet, leading to some criticism from the crypto community.
The website is also shutting down. The move has raised questions as to why Rally made the decision, especially given the recent resurgence of NFTs.
