TipJar, an Ethereum-based Reddit Tipping Service Shuts Down




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TipJar shuts down

TipJar, an Ethereum-powered tipping service that allowed redditors to send micropayments to one another has shut down. The service, which allowed payments in ETH and ERC-20 tokens went offline on October 7. While its site is still active, it is also set to shut down on April 20 in the coming year.

The developer published a public announcement on the same day that the service shut down.

He said,

The TipJar reddit bot is being shut down immediately, so tipping other users on reddit is no longer possible. The TipJar website will be shutting down on April 10, 2020. After that point, TipJar accounts will no longer be accessible and funds cannot be transferred. If you have an existing balance in your TipJar account, you should withdraw as soon as possible.

Decreasing Interest from TipJar’s Users

Explaining why he had to shut down the tipping service, the developer said,

I had a great time creating this service, and it was fantastic seeing all the engagement when it was being used actively, but lately there has been very little activity on the bot.

As a result, he claimed to have been paying the monthly server fees for a couple of years now. He added that while the server charges were pretty minimal, it no longer makes sense for him to continue pumping money into a service that goes unused.

The developer added that he had received a lot of requests to make the code of the service open source. He said that he refused to accept these requests until he did a more comprehensive analysis of the system’s security. However, he noted that he would be happy to make the code open-source after the service shuts down completely.

This news comes after a report unveiled that had shut down due to financial strains. Per the report, the altcoin trading platform announced on October 1 that its closure was a business decision and that it was unrelated to a security breach.

In its statement, said,

Unfortunately it is no longer economically viable for us to continue offering market services. The costs of providing the required level of security and support now outweigh our earnings.

The firm added that it would suspend trading and deposits on October 15. However, withdrawals on the platform would go on until December 1. In so doing, the firm hopes that every user on the platform will have ample time to cash out their assets. The exchange added that it might reopen in the future if market conditions became conducive again.

Do you think TipJar shutting down will have a negative impact of ETH’s price? Let us know in the comments below.