LBRY Inc. Shuts Down Operations Due to Debt
LBRY Inc. has made the decision to close down its operations, citing millions of dollars in debt that have rendered the company unsustainable. In a final message, LBRY expressed gratitude to those who fought alongside them for online freedom.
LBRY’s Final Message
In its final message, LBRY revealed that it owed several million dollars in debt, making it impossible for the company to continue operating. The LBRY network itself remains unaffected, and assets such as Odysee will go through a legal process to address the debts. Despite the closure of LBRY Inc., Odysee is expected to have a promising future.
Debt Overwhelms LBRY
In a statement released on Odysee, LBRY explained that its debts had become insurmountable. All employees, board members, and executives have resigned, and the focus now is on meeting outstanding legal obligations.
LBRY’s Original Decision and Appeal
Earlier this year, LBRY announced its intention to wind down operations following a judgment in favor of the Securities and Exchange Commission (SEC). Initially facing a $22 million penalty, the SEC later reduced it to $111,000 due to LBRY’s inability to pay. LBRY later appealed against the regulator but has now decided not to continue with the appeal process.
Farewell from the Crypto Community
The announcement of LBRY’s shutdown prompted an outpouring of support from the crypto community. Users praised LBRY for its fight against the SEC and recognized Odysee as one of the most valuable blockchain-based applications available.
The Fate of Odysee
The fate of Odysee, LBRY’s flagship app with over 6 million monthly users, remains uncertain. While another party is expected to assume Odysee’s assets, it is unclear whether the platform will continue to utilize the LBRY network or transition to another network. The statement concluded with a reflection on the increasing threat to online freedom and LBRY’s role in defending it.
Hot Take: LBRY Inc. Closes Doors Due to Debt, Leaving Odysee’s Future Uncertain
LBRY Inc. has announced its shutdown due to insurmountable debt, leaving behind its popular app Odysee. Despite the closure, the LBRY network remains unaffected. The crypto community expressed support for LBRY and its fight for online freedom. However, the fate of Odysee remains uncertain as another party takes over its assets. The closure of LBRY highlights the challenges faced by blockchain-based projects in navigating legal obligations and financial pressures.
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