Decentralized email platform Dmail Network has announced that it will cease all services and shut down on May 25 after five years of operation.

 

The team, in a press release, cited several factors leading to the decision, including high infrastructure costs, unsustainable monetization, and limited token utility. It urged users to export their data from the system before the shutdown date.

 

Image credit: Dmail

 

What Happened?

The costs of running its decentralized infrastructure, including bandwidth, storage, and computing, had become extremely high. According to the team, these expenses have long consumed a large portion of its budget, making it impossible to continue operating a sustainable business.

 

Conditions worsened as core team members began leaving. The remaining members, the team said, could no longer maintain such a high cost decentralized infrastructure.

 

Despite reportedly having over 49 million users and, according to DappRadar, 4.9 million unique active wallets monthly in 2025, these figures did not help the team establish a sustainable business model. The company experimented with several monetization approaches, including its Mail to Earn model, its sub-hub model, and premium offerings, but said users were not willing to pay for them. DMAIL, the protocol’s native cryptocurrency, also had very limited utility.

 

With the closure date set, the team has launched a mail export tool and account cancellation feature that will allow users to securely transfer their email content to other platforms such as Gmail. After exporting, users can cancel their accounts and associated data, including emails, NFT domains, and social addresses, the team noted. Users were urged to complete the export process before the May 15 deadline.

 

Following the announcement, the DMAIL token declined sharply, falling by more than 70 percent to all time lows. At the time of publication, the DMAIL token, according to CoinGecko, was trading at around $0.00014, representing a decline of about 99.99 percent from its peak price of $0.97 in 2024.

 

A Wave of Web3 Shutdown 

Dmail’s shutdown is one of several closures among crypto companies seen in recent times. Leap Wallet, a non-custodial wallet infrastructure built on Cosmos, has announced that it will shut down and exit the crypto market by May 28 next month. This announcement comes shortly after the crypto custody company Entropy and the NFT marketplace Magic Eden wound down and shut down in January and March of this year.

 

Crypto exchanges and trading platforms have also been affected by this wave of shutdowns. In March, the crypto platform Bit.com announced that it would shut down its derivatives exchange operations, citing declining user activity. DeFi aggregator platform Slingshot also shut down in February, citing low usage. These are just some of the more than 20 crypto companies that have wound dow their operations this year.