Phaver Shuts Down as Token Crashes 99% Since TGE

• Phaver app has officially shut down operations.
• The token has lost 99% of its value since its September 2024 TGE.
• Over $1M spent on CEX listings with no token sales for funding.

The Fall of Phaver: What Went Wrong?

Decentralized social media app Phaver has officially ceased operations, marking a dramatic end for a project that once showed strong community support. The collapse comes after its token price plummeted by 99% since its Token Generation Event (TGE) in September 2024.

The project’s core team confirmed that financial mismanagement played a major role. In an effort to boost visibility and adoption, Phaver spent over $1 million on listings across five centralized exchanges (CEXs). However, in a move meant to preserve long-term trust, the team chose not to sell any tokens during the TGE — a decision that ultimately left them without essential operating capital.

Massive Costs, No Revenue

While paying for major exchange listings might have seemed like a smart growth strategy, it backfired without the proper financial runway. The lack of immediate liquidity left Phaver unable to cover basic operational costs. Without a steady income from token sales, they ran out of funds faster than anticipated.

This approach — spending big on visibility while avoiding short-term token profit — was perhaps admirable but unsustainable. As the token’s price continued to spiral downward, confidence in the platform faded quickly.

Lessons for Web3 Startups

Phaver’s shutdown is a warning for other projects in the Web3 and crypto space: transparency and community trust are crucial, but so is financial sustainability. While avoiding early token dumps can earn goodwill, projects must also ensure they have enough resources to keep building.

Balancing ethical funding strategies with realistic business needs is now more important than ever for new projects looking to survive in the highly competitive decentralized landscape.