Dmail said it will shut down by mid-May after five years, citing the high costs of running a blockchain-based email service.
Dmail, a blockchain-based email project, is shutting down after trying to turn blockchain email into a real business.
In its April 2 blog post, the team said it will gradually stop all services from May 15, citing “extremely high” costs, weak monetization, a token that never found broad real use, and failed acquisition talks. The team said:
“After multiple rounds of financing failed, acquisition attempts fell through, and the funding was about to break, we had no choice but to decide to shut down operations.”
Launched in 2021, Dmail functioned as a decentralized messaging project focused on encrypted email and NFT transfers. After rolling out its beta network in June 2022, the company said in a 2023 blog post that it had reached nearly 550,000 registered domain accounts and more than 300,000 individual addresses, with about 8.5 million messages sent in total.
DMAIL Token Drops by Nearly 60%
Although Dmail never publicly disclosed the exact dollar size of its latest raise, its own July 2023 announcement said it had closed a Pre-A round and named backers including KuCoin Labs, Amino Capital, OIG VC, Draper Dragon, and many others. The earlier 2021 seed round was at a $10 million valuation, the team revealed in an X post.
After the news broke, DMAIL, the project’s governance and utility token, used for things like fees and staking rights, fell nearly 57% in a few hours to about $0.0002, cutting its market cap to roughly $26,500, a far cry from about $28 million in March 2024, according to CoinGecko data.
