Coinbase-Backed Routing Protocol Shut Down Due to Lack of Sustainable Business

Routing Protocol, backed by Coinbase Ventures, will shut down its operations on September 30 after over four years of development. Despite efforts to commercialize its products and stand out in a competitive bridging sector or find an acquirer, the project failed to produce a sustainable business.

The team cited capital shifting from crypto into artificial intelligence and lower fees for moving assets between blockchains as central challenges to its continuing operations. Demand had fallen for its services due to activity concentrating on fewer networks and standardized infrastructure.

Routing Protocol plans to permanently burn 303,333,198 ROUTE tokens held in its treasury, about 30% of the token's nearly 1 billion total supply. The team will also work with centralized exchanges to end support for the token, though each exchange will likely have a separate delisting schedule and withdrawal procedure.