Lisk to Discontinue Blockchain Amid Strategic Shift

Swiss-based blockchain infrastructure company Lisk announced it will shut down its blockchain on October 31, 2026, as part of a broader strategic pivot towards financial software solutions for businesses. This decision impacts early-stage startups in Africa that relied on Lisk’s funding and support.

The company plans to wind down its decentralized autonomous organization (DAO) while retaining the native LSK token, which will continue trading on networks like Ethereum and Base. The move comes at a time when venture capital for African Web3 startups is already constrained—funding declined by 26.6% in 2025 to $90.1 million compared to the previous year, according to Crypto Valley VC.

Impact on African Ecosystem

Lisk had cultivated a presence across Africa through regional hires and partnerships with accelerators, providing capital to companies like:

• Azza: A Nigerian stablecoin payments platform
• ClapMi: A Nigerian social-finance platform
• LovCash: A South African digital supply-chain startup
• Afrikabal: A Rwandan agritech marketplace

These startups, among others, benefited from Lisk’s EMpower Fund and the company’s broader ecosystem support.

Reasons for Shutdown

According to Lisk, the blockchain failed to generate sufficient revenue while token supply increased through grants and incentives. The company stated that its new focus will prioritize activities directly contributing value to the LSK token rather than pursuing a broad blockchain ecosystem approach.

The chain’s total value locked (TVL) has steadily declined from $5.47 million in early 2026 to under $139,000 currently—the lowest since at least 2024—with minimal daily trading volume and network fees.