Glass Protocol, an ambitious venture-backed startup, is shutting its doors due to the ongoing bearish sentiment in the crypto realm. Just two years into their journey, the co-founders, Sam Sends and Varun Iyer, have made the tough call to halt active development on the protocol.
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Lack of interest in Video NFTs
Announcing on X (previously Twitter) this past Friday, the founders expressed their belief that the demand for digital, tradeable video NFTs was insufficient to justify continued work. Varun Iyer candidly remarked:
“We founded a web3 video platform believing that we could help creators to get the value they deserve for their videos. The market for video NFTs can no longer sustain Glass’ development.”
Sam Sends, the other co-founder, expressed the same sentiment in an extensive tweet.
Bear market takes another victim
Launched two and a half years ago, Glass is now joining the list of casualties in a crypto market that has been especially harsh on the NFT sector.
While all on-chain collectibles have seen a reduction in trading volume, smaller initiatives, like Glass, have struggled the most. The company was unable to capture significant traction in this volatile environment.
The innovative concept behind Glass was to empower online content creators. It aimed to provide a platform where creators could mint and sell their videos directly to fans. In theory, this direct-to-consumer approach could yield higher revenues compared to traditional platforms like YouTube.
The founders were convinced that the blockchain could bring unprecedented transparency and permanence to video sharing. These videos would be stored decentralized, ensuring they could not be censored or controlled by any single entity.
While the protocol’s development might be halted, the NFTs minted through Glass won’t vanish. These NFTs will continue to exist along with the website. However, without active development, its prospects for future growth are dim.
Did Glass run out of funds?
Last September, Glass raised an impressive $5 million from prominent investors, including TCG Crypto and 1kx. The current financial status of the protocol remains shrouded in mystery. It’s uncertain whether they’ve exhausted their funds or if any of the initially raised capital remains intact. As of now, the co-founders have chosen to remain silent, refraining from commenting on this issue.