Ragnarok Meta CEO Apologizes for Losing Part of Startup Capital Through Crypto Trading
The CEO of non-fungible token (NFT) game project Ragnarok, 0xfanfaron, has issued a public apology for his leadership mistakes in a recent blog post. Ragnarok crypto startup raised $15.5 million in Ethereum for the creation of video games in April through its first-ever NFT sale.
The firm's Ether investments were sold by 0xfanfaron through a series of trades, with the intention of reinvesting at a "better time." The venture resulted in realized losses of $1.827 million. Other costs incurred by Ragnarok at that period included $6.9 million in team member pay and benefits, as well as $1.9 million for the outsourcing of development work.
"We exchanged the ETH from the mint for 15.5 million in USD Coin. As it turns out, this was a good move in treasury management. But when ETH's price went down, I made mistakes by buying ETH multiple times when I thought it was an advantageous investment for the project," 0xfanfaron disclosed.
"Compensating the Ragnarok treasury for any trade losses," 0xfanfaron pledged. This will be accomplished by returning $600,000 from the NFT sale, making a payment of 163.8 Ether, cutting his NFT remuneration by $600,000, and forgoing a $200,000 pay cut for the next four months. Krimbo, a different team member, also promised to reimburse $250,000 worth of his compensation.
In addition, a list of wallets that would be used to compensate for the firm's trading losses was provided by 0xfanfaron for greater transparency. He also emphasized that the company still had over $10 million in its treasury and that he had the support of all investors to continue as CEO. Ragnarok plans to launch its own gaming arcade within the next seven months.
Read more: Here