Chain Game Shrapnel Developer Neon Machine Facing Financial Crisis

BlockBeats News, April 6th, according to Blockworks, the developer of the crypto shooter game "Shrapnel," Neon Machine, is facing serious financial difficulties. The company has exhausted nearly $86.9 million in operating funds, with revenue of $21.7 million in 2024. However, a $33 million operating cost has led to a net loss of $11.4 million.

Currently, the company is burning $2-3.5 million per month, the cash reserves are depleted, and it owes external suppliers millions of dollars in debt. The planned new round of financing for early 2025 has not materialized. The company has undergone at least three rounds of layoffs, reducing its staff from nearly a hundred people to just over ten people, and its Seattle headquarters was closed at the end of March.

Despite the dire financial situation, Neon Machine still publicly claims to be "in the strongest state ever" and plans to globally launch "Shrapnel" by the end of 2025. However, insiders are skeptical of this claim.

It is worth noting that the Spirit·People's Game Lab has reached a preliminary cooperation intention with the "Shrapnel" core team on issues such as the minting and issuance of game digital assets in the Chinese market.