Kickstarter, a popular crowdfunding platform created quite a stir among its loyal user base in December. A majority of users criticized the firm when it announced that it is planning to transition its current platform to blockchain technology.
The initial feedback from the company’s backers and creators was evidently negative. Nearly two months after, the firm has made a statement that it is decelerating and slowing down its transition. However, the company made it clear that while it is putting the brakes on the transition, it is not stopping.
Blockchain technology flirts with controversy
At the moment, blockchain technology is marred with controversy. Critics have pointed out an array of risks involved in its use. For example, blockchain predominantly relies on computational power that generates large amounts of heat, eventually adding to global warming.
Besides the negative environmental impact, blockchain is increasingly becoming a go-to tool to commit fraud. This is even more true when it is applied to other products including non-fungible tokens (NFTs) and cryptocurrency.
Having said that blockchain has reasonable backing from its advocates around the world. Advocates of the technology believe blockchain can work as a force multiplier for a number of capitalistic projects.
Why are users apprehensive about Kickstarter’s blockchain ambitions?
In theory, the transition to blockchain should be a seamless process for Kickstarter users. However, this endeavor has strong potential to change the entire technology on which the platform operates.
This is one of the main reasons why Kickstarter has attracted so much criticism over the past couple of months. Some creators have made public statements indicating that they may shift their business to other platforms.
Kickstarter’s current stance on blockchain transition
In the announcement on Thursday, Kickstarter admitted that its statements in December were not in tune with the company’s community-centric ideals. The company will not publish a promised whitepaper that was going to highlight the approach it would take to transition to blockchain.
However, at the moment, the company has taken a step backward to evaluate the transition.
The company said that its users have made it very clear that they are not for the transition. This is why it is introspecting their approach taking into account user feedback.
Kickstarter also said that it is their responsibility to ensure that they serve the backers, creators, and the entire creative ecosystem. The company also said that it will evaluate and review the environmental impact of blockchain technology.
Are you interested to know what happens next? Will Kickstarter successfully transition to blockchain technology? Stay tuned for more information only on Toolsmetric.
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