LBRY, the blockchain firm responsible for the LBRY blockchain and Odysee video-sharing platform, has released its farewell message to the cryptocurrency community.
In an official statement released on October 20th on their Odysee platform and social media, LBRY revealed that it had amassed "several million dollars" in debt, a significant portion of which was owed to the SEC, their legal representatives, and a private debtor.
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The overwhelming financial burden led the company to the decision that "LBRY Inc. must die" and that there was no way around shutting down. The team expressed their gratitude in a social media post, thanking everyone who had supported their fight for online freedom.
The company initially announced its intention to cease operations in July following an unfavorable judgment by the SEC. While the SEC had originally sought a fine of $22 million, it later reduced the amount to $111,000, recognizing that the defunct company couldn't meet the higher obligation.
Surprisingly, LBRY appeared to have a change of heart in September when it filed a notice of appeal against the SEC's ruling. However, the latest announcement confirms that the firm has abandoned its plans to continue the battle.
As a result of the shutdown, all LBRY executives, employees, and board members have stepped down from their roles and are now focused solely on meeting any remaining legal obligations.
Jeremy Kauffman, the now-former CEO, took to social media to share his reflections on the company's eight-year run in the crypto space, stating:
It wasn’t a happy ending, but it was a happy journey.
After the announcement, the crypto community has shown a groundswell of support for LBRY. Social media users have been expressing their gratitude and respect for the company, praising it as one of the most useful blockchain-based platforms on the market and thanking it for its brave battle, presumably against the SEC.
LBRY's closure marks the end of an era for one of the blockchain industry's key players. While it's a sad day for the crypto community, LBRY's journey provides important lessons about the challenges blockchain companies face, especially when up against regulatory hurdles.
