Ethereum

2024

Read

The company behind the privacy-focused protocol Nocturne has announced its closure just four months after discontinuing the protocol itself.
Nocturne, which developed a privacy-oriented protocol for <a href="https://crypto.news/tag/ethereum/" target="_blank" rel="noopener noreferrer nofollow">Ethereum</a>, is shutting down less than a year after securing $6 million in funding from Bain Capital Crypto, Polychain Capital, and Vitalik Buterin.
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 Hey all, some tough news. After shutting down the privacy protocol we built earlier last year, we’ve decided to wind down the company. The frontend <a href="https://t.co/bDN4zxs1fH" target="_blank" rel="noopener noreferrer nofollow">https://t.co/bDN4zxs1fH</a> will remain open for withdrawals until the end of this month. From there we will convert the withdrawal…— Nocturne (@nocturne_xyz) <a href="https://twitter.com/nocturne_xyz/status/1798420775739023466?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">June 5, 2024</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
In <a href="https://x.com/nocturne_xyz/status/1798420775739023466" target="_blank" rel="noopener noreferrer nofollow">an X announcement</a> on Jun. 5, Nocturne’s team stated that the application’s website will remain open for withdrawals until the end of June. After the deadline, the withdrawal process will be converted to a self-serve format via a GitHub repository. The team didn’t provide a reason for the shutdown.
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 “We appreciate everyone who supported the product and mission over the past year and a half. Thank you for the support, feedback, and energy. We wish everyone well in the future.”
 Nocturne
</blockquote>
You might also like: <a href="https://crypto.news/cryptos-future-hinges-on-solving-the-privacy-transparency-conundrum-opinion/" rel="noopener noreferrer nofollow"> Crypto’s future hinges on solving the privacy-transparency conundrum | Opinion </a>
The closure follows Nocturne’s decision in February to shut down the v1 version of the protocol and shift focus to “a new product in the application space.” The team <a href="https://x.com/nocturne_xyz/status/1749510393267962020" target="_blank" rel="noopener noreferrer nofollow">cited</a> the nascent state of the layer-2 ecosystem as a reason for the protocol’s closure, emphasizing that the transition to public layer-2 networks “must happen before privacy.”
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 “Users worry about cost/UX first. Moreover, the timing for privacy depends on crypto’s utility. Until these primary barriers are overcome first, privacy concerns remain secondary.”
 Nocturne
</blockquote>
Nocturne aimed to enable private accounts on the Ethereum network, allowing users to send and receive cryptocurrency privately.
In October 2023, Nocturne <a href="https://x.com/nocturne_xyz/status/1717150278749725127" target="_blank" rel="noopener noreferrer nofollow">raised $6 million</a> in a seed round co-led by Bain Capital Crypto and Polychain Capital, with participation from Ethereum co-founder Vitalik Buterin and other Ethereum community members. At the time, the team intended to use the funds for deploying and developing private accounts on Ethereum.
Read more: <a href="https://crypto.news/edward-snowden-urges-privacy-updates-in-bitcoin-amid-coinjoin-closure/" rel="noopener noreferrer nofollow"> Edward Snowden urges privacy updates in Bitcoin amid Coinjoin closure </a>

Vitalik Buterin-backed developer of privacy protocol Nocturne shuts down

crypto.news

Other articles published on Jun 6, 2024

New record for the Floki crypto: Crypto Analysis of June 6, 2024

Scammers Target Crypto Wallets

B2BinPay v20 Release: Improved Functionality with TRX Staking and Expanded Blockchain Support

GME skyrockets in anticipation of Roaring Kitty’s first YouTube livestream in 3 years

Bitcoin Approaching All-Time Highs: Why Is Retail Interest Rapidly Declining?

Top Altcoins Attracting Whales: Major Bullish Upswing Expected

Join our free newsletter for daily crypto updates!