The organizers of ConstitutionDAO decided to shut down the group after collecting $ 47 million in cryptocurrency and then failing to win an auction for a rare copy of the U.S. Constitution.
Many members of ConstitutionDAO had expressed hope that the group could live on, but with an alternate focus given that there are currently no other famous copies of the Constitution up for auction. The group leaders initially launched a new token for members who wanted to participate in the pursuit of the group, called We The People tokens, but then backtracked, saying they should have paid more attention to it. It was never made clear on what, exactly, the group could focus on if they were to continue.
Today, five days after the auction, the group’s organizers are announcing that they are shutting down ConstitutionDAO for good. “The community has taken whatever action it is organized to do,” Graham Novak, a ConstitutionDAO organizer, wrote in the group’s Discord. The Discord channel will remain operational for the next two weeks and then go into read-only mode.
“We have determined that building and maintaining an ongoing project is not something that we, as a core team, are able to support, given the technical and administrative requirements to do it properly. “, wrote Novak. He said there would be “no time limit” on claiming refunds for those who contributed Ether to the auction.
Organizers have yet to say how much money has been refunded through refunds, but there are concerns that backers will receive much less than what they put in. Gasoline fees – the transaction fees you have to pay to get things done on the Ethereum network – are pretty steep, even for something as simple as sending money to another party. So, a person who sent their money to ConstitutionDAO and now asks for it back may end up with much less after paying for the round trip.
Novak calls ConstitutionDAO a “milestone” that showed the power of “web3”. The group organized quickly over the course of a week in an attempt to gain a first impression of the U.S. Constitution at an auction at Sotheby’s. The group ultimately lost to Ken Griffin, a billionaire hedge fund CEO, who bought the document for $ 43 million. Organizers of ConstitutionDAO later said spending more would have left too little money to take care of the document.
“We sincerely hope that this project will spark many more,” writes Novak.