Will look at compensation route for NFT holders, Rario informs users
The Decrypting Story was the first to report on the plight of traders and holders of the Rario cards in October.
Cricket fantasy NFT platform revealed its plans to sunset its NFT platform.on Wednesday said it would look at ways it could compensate users currently holding its existing non-fungible tokens (NFTs). The decision comes shortly after the company
"We understand that some of you have experienced losses from your investments in Rario cards, which we would never want for our users," it said in a statement, adding, "We are working with various stakeholders to implement a plan to compensate you for any such losses and will provide you with the details of the same by next week," it added.
The Decrypting Story was the first to report on the plight of traders and holders of the Rario cards in October. At the time, activity on the platform was largely muted, leaving those who spent upwards of Rs 20,000 on a card unable to exit their holdings as buyers were few and far between.
Traders on the company's official telegram channel urged the platform to either buy back their holdings or return their investment in rupees form entirely. "We have put money, energy and time into building these card collections... If Rario is going to be shut down, set a floor price for each tier cards and buy back everything," one user wrote on the channel.
However, the company said earlier that existing holders of Rario cards will be unable to carry forward their holdings to the new venture that the company plans to execute by March.
Rario cited headwinds in regulation in the Web3 space and the crashes in the NFT space as some of its primary reasons for shutting down its current venture.
Founded by Ankit Wadhwa and Sunny Bhanot in 2021, the company last raised $120 million led by Dream Capital—Dream Sports’ investment arm—and Alpha Wave Global.
While Wadhwa and Bhanot quit the company in September, Rario investors took control of the company, reduced the workforce, and appointed CFO Priyesh Karia as the interim CEO.
Edited by Suman Singh