Decentralized social network organization Mastodon said Monday that it is planning to create a new non-profit organization in Europe and hand over ownership of entities responsible for key Mastodon ecosystem and platform components. This means one person won’t have control over the entire project. The organization is trying to differentiate itself from social networks controlled by CEOs like Elon Musk and Mark Zuckerberg.
While exact details are yet to be finalized, this means that Mastodon’s current CEO and creator, Eugen Rochko, will hand over management bits of the organization to the new entity and focus on the product strategy.
The organization said that it will continue to host the mastodon.social and mastodon.online servers, which users can sign up for and join the ActivityPub-based network. Mastodon currently has 835,000 monthly active users spread across thousands of servers.
“When founder Eugen Rochko started working on Mastodon, his focus was on creating the code and conditions for the kind of social media he envisioned. The legal setup was a means to an end, a quick fix to allow him to continue operations. From the start, he declared that Mastodon would not be for sale and would be free of the control of a single wealthy individual, and he could ensure that because he was the person in control, the only ultimate decision-maker,” Mastodon said in a blog post.
Last year, the company formed a U.S.-based non-profit to get more funds and grants with Twitter co-founder Biz Stone on the board. As a side effect, the organization lost its non-profit status in Germany at the same time.
While Mastodon relies on donations and sponsorships to operate, Bluesky, its main competitor working on a rival decentralized network, is reportedly raising a new funding round from investors at a $700 million valuation.
The blog post noted that the new Europe-based non-profit entity will wholly own the Mastodon GmbH for-profit entity. The organization is in the process of finalizing the place where the new entity will be set up.
“We are taking the time to select the appropriate jurisdiction and structure in Europe. Then we will determine which other (subsidiary) legal structures are needed to support operations and sustainability,” the post said.
“Throughout, we will focus on establishing the appropriate governance and leadership frameworks that reflect the nature and purpose of Mastodon as a whole, and responsibly serve the community.”
In the past few months, the ownership of open-source projects has been a recurring news subject. For instance, people have questioned control of certain WordPress community projects being in the hands of WordPress’s co-creator Matt Mullenweg. Mastodon is trying to avoid situations where only one person has decision-making powers with today’s new structure.
