On July 21, users of Novi will no longer be able to add money to their accounts and were advised by Meta to withdraw their balance “as soon as possible.”
Users will not be able to access their personal data, including their transaction history, after September 1.
A Meta spokesperson told Bloomberg via email that the company plans to use the technology behind Novi for future products, including its metaverse project.
In a statement, Meta said is is using its blockchain capabilities for digital collectibles, as well as other “new products.”
Novi was just one part of Meta’s overall push into crypto, which it ultimately called the Libra project. Setbacks were evident from Novi’s start last October when it used a stablecoin, USDP, that was different from the intended Diem coin, which was associated with the Libra project itself.
Then, in November, Meta’s top crypto executive and leader of Novi, David Marcus, announced his departure from the company.
In January, the Libra/Diem Association, which was originally created to back Meta’s crypto project, reported that it would be selling off the assets of the Diem stablecoin.
Therefore, the end of Novi’s pilot marks a grim finale to Meta’s crypto dreams.
The last major factor in Novi’s departure is crypto’s ongoing bear market and crash over the past 7 months, during which the market value of crypto decreased from $3 trillion to below $900 billion.
In June, BitCoin experienced its biggest monthly loss in 11 years.