Cardinal Protocol, a Solana network and the groundbreaker of conditional ownership of NFTs, shared “unfortunate” news of the commencement of winding down its protocols in a Twitter thread on Wednesday.
The protocol cited an “incredibly difficult macroeconomic environment” as the reason for the decision to wind down operations.
“We’ve done our best to navigate this incredibly difficult macroeconomic environment since we began building 18 months ago, but like for many others, it has been challenging,” the protocol wrote in the thread.
Cardinal protocol has announced a two-month “notice period” (starting from the day of announcement) for users to manually withdraw their assets otherwise, it will forcibly withdraw users’ deposits to their various addresses.
Furthermore, certain operations such as staking pool creations, token management, and NFT rentals will be discontinued from July 19.
Despite the downturn of the NFT market in 2022, the market seems to be getting more attractive of recent. A recent report from DappsRadar indicates that the first quarter of 2023 was the best-performing quarter for the NFT market since the second quarter of 2022.
“We’re excited to watch things evolve from a different vantage point, and we know those in the Solana ecosystem will continue to help usher in the next phase of the industry,” the protocol concluded in the thread.
