Chaingame Shrapnel developer Neon Machine is in financial crisis

In comparison, according to Blockworks, Neon Machine, the developer of the crypto shooter “Shrapnel”, is facing serious financial difficulties. The company has accumulated nearly $86.9 million in operating capital. Although it had revenue of $21.7 million in 2024, it had a net loss of $11.4 million due to operating costs of $33 million.

Currently, the company burns $2-3.5 million a month. Cash is exhausted, and it owes millions of dollars in debt to external suppliers. The new round of financing planned in early 2025 has failed to be implemented. The company has carried out at least three rounds of layoffs. The number of employees has been drastically reduced from nearly 100 to more than 10, and the Seattle headquarters closed at the end of March.

Despite worrying financial conditions, Neon Machine still claims to the outside world that it is “in the strongest state ever” and plans to launch “Shrapnel” globally by the end of 2025, but people familiar with the matter are skeptical.

Notably, Reijing People's Game Lab and the “Shrapnel” main creative team have reached a preliminary cooperation agreement on issues such as minting and distribution of game digital assets in the Chinese market.