The cricket-focused non-fungible token (NFT) platform, Rario, has announced its decision to cease operations on January 29, 2024.
According to a statement shared by the company on X (Twitter) on January 23, the decision stems from the challenges faced in the past six months, marked by mismanagement and the impact of new regulations in the Web3 sector.
In response to the uncertainties, Rario plans to establish a new management team tasked with creating a new brand platform and steering the business in a more favorable direction.
However, to facilitate this transition, the company will sunset its current operations starting January 29, 2024. Users have been assured that their wallets will remain accessible, allowing withdrawals until March 31, 2024.
The upcoming platform is scheduled for launch in March, offering users the opportunity to engage in new cricket-based games, as stated in the announcement.
Initially launched in 2021 with the goal of allowing cricket fans to own digital collectibles, such as player cards and video moments, Rario soon formed collaborations with Cricket Australia (CA), the Australian Cricketers Association (ACA), and Australian cricketer Aaron Finch in 2022. In the same year, Rario secured a funding round of $120 million, led by Dream Capital.
Despite these achievements, 2023 proved to be a challenging year for Web3 and NFTs, resulting in several businesses, including Aqua and GameStop, shutting down their NFT projects due to market downturns and regulatory uncertainties. Notably, even industry giants like Meta discontinued NFT features on Facebook and Instagram, and, more recently, X removed its NFT profile picture feature.
While there was a positive upturn in NFT volumes and prices at the end of 2023 and the beginning of 2024, with Bitcoin NFTs reaching an all-time high and record-breaking sales surpassing $881 million, analysts urge caution. They emphasize that these developments are only “tentative signs of revival” and that it is too early to be overly optimistic.