Tessera and Escher Bid Farewell: The End of an Era
In a surprising turn of events, Andy Chorlian, the Co-Founder and CEO of the Fractional Token Company, dropped a bombshell today, announcing that the operations of Web3 platforms Tessera and Escher would gradually come to a halt in the near future.
Originally known as Fractional Art, Tessera emerged onto the scene in 2021 as a pioneering Web3 service that specialized in fractionalized ownership of NFTs. Enabling enthusiasts to own a fraction of renowned NFTs such as Bored Apes or CryptoPunks, Tessera quickly gained recognition. The platform also fueled Nounlets, an experimental NFT initiative that allowed collective ownership of a single Noun. Escher, launched in March 2023, served as a marketplace where users could conveniently explore an artist’s entire body of work and discover editioned fine art NFTs.
With a heavy heart, Chorlian conveyed his gratitude to all those who supported the company, assuring a responsible wind-down process. He emphasized that the decision was made from a position of financial stability and aimed to prioritize the well-being of their employees during the transition.
“Our team conducted extensive analysis of market scenarios, our company structure, and financial situation, leading us to conclude that this was the best choice for our team and investors,” expressed Chorlian, a prominent figure in the Web3 realm and co-host of the popular We Do A Little podcast. “As we delved deeper into the economic model for Escher, we realized that the targets we needed to achieve profitability didn’t align with the time and resource costs required for scaling. It simply didn’t make sound business sense.”
The announcement sent shockwaves through the NFT community, garnering gratitude and sympathy as users expressed their sentiments under Chorlian’s tweet. Fractional Art had initially been hailed as a groundbreaking innovation within the broader Web3 community upon its launch.
Following its introduction, Fractional Art (Tessera) rapidly gained a reputation for its forward-thinking approach, enabling multiple individuals to co-own a single NFT. By August 2022, over 70,000 users collectively held ownership of more than 6,500 NFTs on the platform, including a zombie CryptoPunk valued at $3.46 million at the time of acquisition. Tessera also championed social causes, raising $8 million for Ukraine, and served as a hub for the birth of Decentralized Autonomous Organizations (DAOs) like Doge NFT and FreeRossDAO.
The news struck a particularly disheartening chord for admirers of Chorlian’s work who had eagerly anticipated the future of Escher. In April, Chorlian took to Twitter to share his visionary plans for the platform, envisioning a Web3 destination that would aggregate an artist’s entire body of work. Acting as a comprehensive hub for participating artists, Escher aimed to streamline access to their editions, a popular NFT drop mechanism that gained immense popularity in late 2022. The platform featured works from acclaimed artists such as Dave Krugman, Summer Wagner, Postwook, Alpha Centauri Kid, Bryan Brinkman, and more.
In his wind-down announcement, Chorlian reassured his followers that he would remain active in the space, dispelling any notions of a complete departure during what many consider to be the chilliest crypto winter in years. “I have engaged in deep introspection, reflecting on my mistakes as a first-time founder over the past few years, and I intend to share those thoughts at a later point,” he conveyed, hinting at future endeavors yet to come.