While the price of bitcoin has gone up on the crypto sphere, leading to the crypto industry at large to sprout up, for some entities they are closing their shops due to having financial challenges among other problems. For Thor token, it has been due to regulatory difficulties coupled with sales going down. Thor token is a blockchain based project from San Francisco. Through the CEO’s circular, project administrators announced the closure of the project.
Per the CEOs notes, Thor is closing down due to having run into several regulatory problems together with lack of sales and not been able to find a new house or person to take over full operation of the project. Although Thor is shutting down, the CEO David Chin said Thor code together with the products will remain open for use by the community. With the community having access to the project’s codes, they can modify or initiate forks to leverage the project’s systems to their advantage. While Thor was supporting 1099 gig economy firms during its hay days, the lack of finding a person or entity to assume ownership of the project led to the current decision. The project was hosted on Neo.
Alongside issuing the notice about the closure to the public, Thor CEO also clarified a few rumors doing rounds on social media. He spoke about an acquisition deal with Matthew Lawler who was offering $10,000 cash to take over Thor project. However, Chin clarified that the deal wasn’t possible since in the US one isn’t allowed to exchange some money for tokens in return for the project funds and salaries for employees. Further on, he explained more about his projects connection with Permian Capital. For the latter, he said the Permian was just the go-between which handled conversions of US dollars for funds raise and all was done free of charge.
Other entities closing down
Besides Thor project, Basis a stablecoin project in the US had to close down due to experiencing some regulatory issues involving one of their tokens. For Basis they said they would return a majority of the funds raised in a private fundraiser, the fundraiser took place in April 2018, and $133 million was raised. While some are closing shop, other firms are scaling down their operations to resume profitability. This is the case for Bitmain a giant crypto mining rig manufacturer. For Bitmain their drastic fall in sales prompted the firm to reduce its footprint in Netherlands.