In a turn of events, Thor Token, a San Francisco-based blockchain project built on Neo (NEO), is shutting down, as the project was unable to gain traction and achieve commercial success. This dreadful news for THOR token holders was announced on April 9 by co-founder and CEO at Thor, David Chin.
The Thor Token project set out to build a blockchain solution for gig economy workers (freelancers). Its goal was to provide freelancers access to affordable healthcare, an extensive job network, retirement planning, and the companies they work for paycheck processing.
Overall, the idea was to build a blockchain-powered smart gig economy for the future.
Why Did Thor Token Fail?
The Thor Token project failed due to a lack of raised capital, overwhelming regulatory challenges, and failure to find a place where it could benefit from more resources. As a result, the project could not achieve the commercial success it was looking for, and thus was forced to throw in the towel.
Chin made a statement explaining the project shutdown, primarily citing economic environment and regulatory challenges:
“Thor ran into many regulatory challenges while operating that prevented us from achieving what we set out to in our white paper. We hope that the economic environment in the future will be conducive enough to support innovation and we will have the opportunity to serve you better.”
Further on in Chin’s announcement, he revealed that the company kept silent over the past few months, not informing the Thor Token community because it had been trying to find the right person or entity to take the project over.
However, they failed to find someone to take the project over and are thus closing its doors, Chin added:
“Thor will be ceasing operations in the near future given no other funding or acquisition offers are found… All Thor code and products will remain open source for the community to use, modify, or fork, for its benefit.”
Failed Cryptocurrency Projects
The failure of the Thor Token project comes at a peculiar time. The cryptocurrency markets are seemingly beginning to turn around, signaling the end of the bear market. Therefore, you would think the Thor Token project would strive to take advantage, generate more capital, and carry out their project.
Perhaps the team and founders have other plans for the next cryptocurrency bull run…
As previously reported by IIB, Ripple CEO Brad Garlinghouse recently said that something like 99% of all crypto tokens will fail. These words of his came just as the markets began turning bullish again.
It seems as though a bull market is no guarantee that even the most innovative of crypto projects will thrive.
Do you think the majority of crypto tokens will fail before the next crypto bull run? Let us know what you think in the comment section below.