A Twitter post on August 27 stirred the crypto market. The post was about the Solana-based Clockwork project closure. The news comes about a year after gaining $4 Million in a seed round led by Multicoin Capital. The announcement was made by the founder of the Clockwork project, Nick Garfield.
What Clockwork Project Actually Holds?
Clockwork is an open-source automation engine for the Solana network. The platform is mainly used by developers to automate smart contracts and schedule transactions without relying on centralized infrastructure. At the speed of the Solana blockchain, the clockwork protocol schedules transactions and develops automated, event-driven smart contracts.
Unfortunately, the project is closing on October 30. The announcement was made by Nick Garfield, the founder of the respective project. With the announcement on August 27, the developer team behind the project is set to close the key infrastructure due to limited commercial upside.
The project was accountable for scheduling transactions and developing smart contracts to run applications when triggered by an event.
What’s the Reason Behind the Wind-Up?
“Clockwork Project will turn off its nodes on mainnet and divnet from October 31”, declared Nick Garfield on August 27 via Twitter post.
Limited commercial upside, and simple opportunity cost are one of the main reasons behind the decision-making. The team behind the Clockwork project admitted limited commercial benefits making it challenging to continue the development of the project. The factor simply troubled the team working on the project and shifted their interest towards other opportunities. The project is closing from Nick and the team’s end but the available code will remain accessible.
“The on-chain program will be closed but the project will remain open-source and freely available, offering full endorsement to ship and fork. It is available for anyone looking to continue the protocol”, added Nick Garfield.
In addition, the platform closure will also shut down other Solana protocols, including the Decentralized Finance (DeFi) platform Friktion and its peer Everlend Finance, a month later. Carinal, a Solana-based NFT protocol also winding down due to adverse economic conditions, after raising $4.4 Million. Based on the facts collected by Cruchbase, the Clockwork project collected $4 million in a seed round by venture firms named Asymmetric and Multicoin Capital.
The main question that arises is whether the money would be returned to the investors.
“The project still has a meaningful portion of the funds and the decision-making will take time”, Nick Garfield added.
Conclusion
The announcement of Nick Garfield on August 27, shocked the crypto landscape. The announcement was regarding the closure of the Solana-based Clockwork project. The project helps users schedule transactions and develops automated, event-driven smart contracts. Fewer growth opportunities and limited commercial upside emerged as the main causes behind the decision-making. However, the project will remain open-source and freely available, offering full endorsement to ship and fork. The project is expected to be shut down by October end. In addition, the Decentralized Finance (DeFi) platform Friktion and its peer Everlend Finance are also expecting a shutdown.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
Source: https://www.thecoinrepublic.com/2023/08/29/solana-based-clockwork-project-to-wind-up-declared-nick-garfield/