Social token platform Rally said Tuesday it is abandoning its Ethereum sidechain and warned users – creators and their communities of token-holding fans – their crypto assets may soon become stranded.
“Since NFTs on the Rally sidechain are not transferable to mainnet, these will not be accessible once the site shuts down,” Rally said in an email reviewed by CoinDesk. It further said the site “will no longer be supported” beyond Tuesday.
Rally cited the “challenging year” of 2022 and “macro headwinds” as “too overwhelming to overcome in the current environment.” The startup last raised $57 million from investors in 2021.
Rally’s token RLY has fallen 93% since Jan. 31. 2022, per data site Nansen. Its price was largely unchanged Tuesday.
Decrypt first broke the news of Rally’s demise.
The Rally team did not immediately respond to a request for comment.
