February 8, 2025
To the Sovrin Community
After seven years of leading decentralized identity management, the Sovrin Foundation is preparing for the likely shutdown of its MainNet ledger by March 31, 2025, or sooner (see the timeline section below for details). This difficult decision follows a careful evaluation of the network’s sustainability.
Key Reasons:
1. Decline in MainNet Usage: In 2024, no new Transaction Endorsers joined, and efforts to revitalize interest did not increase engagement or revenue.
2. Regulatory Uncertainty: Ambiguities around decentralized identity have discouraged investments, hindering Sovrin’s growth.
3. Technical Challenges: Resources invested in upgrading Steward nodes were diverted to address issues on the TestNet, straining resources.
4. Governance and Community Involvement: Limited involvement from the Steward community in governance has placed a heavy burden on the Trustees, who have also faced a $2M debt from the previous Board.
Timeline and Future Considerations:
Barring significant changes, MainNet operations are expected to cease by March 31, 2025. If technical or financial changes occur that make it infeasible to operate the network, operations could cease sooner. The Board is also willing to work with others in the community with the leadership and resources to keep Sovrin MainNet operational. Without this, Sovrin will close in an orderly fashion.
Conclusion:
The Sovrin Foundation has been a pioneer, but challenges have made ongoing operations unsustainable. There is still a chance to act, but time is running out.
Other Foundation Updates:
The 2023 Annual Report is now available on the Sovrin website. Line Kofoed, Trustee and Treasurer, has stepped down to pursue an Advanced LL.M. in Technology Governance. We thank Line for her service. Alexander Blom will join the Board as a Trustee and Treasurer, and Stephen Curran will take on the role of Secretary.
Sincerely,
Sovrin Foundation Board of Trustees