Tinder scraps plans to expand into Mark Zuckerberg’s Metaverse

It’s unclear for now whether Metaverse has taken on water, or just Tinder’s revenue, with Match Group’s board of directors also putting the barely elected CEO on the chopping block last September.

Those hoping to participate in VR dating on Tinder, using the Metaverse platform promised by Mark Zuckerberg’s company, will still be left to swipe at photos displayed in the smartphone app, with Match Group’s owner announcing urgent measures to optimize revenues that have not lived up to shareholder expectations for growth.

Indicating perhaps more serious problems than it might first appear, Tinder CEO Renate Nyborg announced her departure less than a year after she was elected to lead the company. Without giving much explanation, Match Group is already looking for a replacement.

In a letter to shareholders, the head of the Hyperconnect division (a former partner bought out last year) blames the scrapping of expansion plans in Metavers on “uncertainties” about the potential for success of virtual worlds as envisioned by Facebook’s owner, with the team deciding “not to invest heavily” in that direction for now. A further reason for the re-evaluation of the business is the very acquisition of Hyperconnect, which generated a $10 million operating loss in the company’s most recent quarterly report. By comparison, Match Group reported an operating profit of $210 million in the same period last year.

Another delayed or abandoned plan is related to cryptocurrencies and blockchain technology, with Match Group dropping the introduction of so-called Tinder Coins in its mobile app. Tinder Coins were only going to have value in the app’s card and could be used to get certain perks, with the real purpose being to motivate users to spend more time on the dating platform. For example, actions such as regular user profile updates and constant activity on Tinder will be rewarded with these coins. Of course, the less “industrious” would be able to buy them with real money to use them to unlock certain premium features.

However, there’s no need to worry about the future of Tinder, as the announced measures are more about streamlining the company, which for years has remained one of the most successful dating networks in the world.