Kickstarter responds to backlash over its decentralized crowdfunding platform

Deepak Gupta February 18, 2022
Updated 2022/02/18 at 6:19 AM

Kickstarter’s plan to create a decentralized crowdfunding platform received more than a minor criticism, and the company is keen to reassure nervous users. The firm has enlightened how it will develop the blockchain-based system, with promises that it would carry information along the way. For starters, Kickstarter said it would “not force” a decentralized system on the community without testing it. This would ensure that there was a “proof of concept” for creators who wanted to try it, and it would only integrate the parts that “deliver value” in light of community input.

To that end, Kickstarter has promised to form an advisory board that will shape the development of features, including the decentralized protocol. The council would include a wide range of users and participants.

The crowdfunding company also noted that work on the platform would take place through a Public Benefit Corporation and that it would ensure that the required blockchain is not harmful to the environment. The team was already known for using the “carbon-negative” Celo chain.

Kickstarter unveiled the plans in December in hopes of bringing crowdfunding to many platforms beyond its own. Like mashable grades, the company soon faced a backlash on several issues. Critics were not only concerned about the high energy consumption that often comes with blockchain-based transactions, but that Kickstarter was tarnishing its reputation by tying to the technology behind fraud-prone NFTs and cryptocurrencies. Some veteran breeders, such as People’s Doctorpromised to stop supporting projects or hosting their own projects elsewhere.

The clarification might reassure worried users that they would have to migrate to blockchain just to buy or finance a hot new product. However, the response also occurs two months after the uproar starts. It’s a long time to leave users wondering about certain issues, and disgruntled users are not guaranteed to come back.

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