Dead End

Would you start on a project if you could prove that the basis of the project made it impossible to pull off?
I'm in, what seems like, such a project right now. The project is based on not false premises, but more like hopes that didn't come true. I'll do my best to continue on the project and see if I can't find ways around this, but it's looking very dark at the moment.
It's a shame, because I think it could have been a cool project, and my supervisor (who happens to be the same age as me, go figure) is a really cool girl.
We'll see what develops I guess. Quite literally.
If you have any knowledge of bluetooth, I could use the help!