Paradigm-Backed NFT Ownership Platform Tessera is Shutting Down
Co-founder Andy Chorlian tweeted that the decision was made after "carefully analyzing possible market scenarios, our company structure and our financial situation."
Tessera, a protocol that enables collective ownership and governance of non-fungible tokens (NFTs), is winding down its operations over the next few weeks, co-founder Andy Chorlian tweeted on Friday.
Chorlian, who co-founded the company alongside Nejc Krajnik in 2021, said that the decision was made after "carefully analyzing possible market scenarios, our company structure and our financial situation."
Curated digital fine art marketplace Escher, one of the projects in the Tessera portfolio, will also be shutting down, Chorlian tweeted.
"As we really dug into the economic model for Escher, we saw that the targets we needed to hit to attain profitability – compared to the time and resource costs to scale there – just didn’t add up or make good business sense," he wrote.
Other Tessera projects include Nounlets, a fractional ownership platform for Nouns NFTs, and We Do a Little, a podcast hosted by Chorlian and NFT influencer Deeze.
The news of Tessera's shutdown comes just under a year after it rebranded from its original name Fractional and announced a $20 million funding round led by crypto investment giant Paradigm. Other investors in the Series A funding round included Focus Labs, Uniswap Labs Ventures, eGirl Capital and Yunt Capital.
