At this point, one would have thought that the FTX domino effect was over, but the latest reports suggest the opposite.
After forcing several over-leveraged firms to shut shop, FTX liquidity crunch has claimed yet another crypto-related business.
latest bloomberg reports It was learned that Storybook Brawl (SBB), a Bankman-Fried-backed online video game, is about to be shut down.
according to a doAfter unsuccessful attempts to stay afloat following the FTX bankruptcy, SBB will be shutting down on May 1st.
Bankman-Fried’s beloved video game is about to cease operations
Storybook Brawl is a digital card auto-battling game loved by former FTX CEO and co-founder Sam Bankman-Fried.
according to a statement The game will be shutting down its servers by its co-founder Matthew Nass.
As per the announcement, the team has made this development after exhausting all options to keep its operations running.
However, the SBB game servers will remain functional, and users can enjoy the services till May 1.
In March 2022, FTX U.S. acquired Storybook Brawl’s developer, Good Luck Games LLC, for its gaming unit.
However, soon after the acquisition, FTX faced a liquidity crunch that sent it into bankruptcy in November.
The Video Game (SBB) grew in popularity after its release in 2021 and became a favorite of Sam Bankman-Fried.
Confused former CEO informed of Various video games to play during meetings.
Storybook Controversy Couldn’t Get Community Feedback
several reports It was noted that the bankruptcy of FTX was due to Bankman-Fried’s indifference to the management operations of the exchange.
Issues escalated when people raised concerns about a large hole in Alameda’s balance sheet, causing a huge drop on FTX.
Authorities accused Bankman-Fried of diverting clients’ funds to FTX affiliate Alameda Research, which involves multiple allegations of fraud.
Storybook Brawl is one of many firms that collapsed Because of the backlash caused by over-exposure to FTX and Almeida.
video game experience feedback from users after FTX acquired its developer company.
Several fans posted negative reviews on Storybook Brawl’s marketplace, Steam, expressing their misgivings about the move.
Within a short period of time, the game’s review scores went from “very positive” to “highly negative” as players complained about the addition of NFTs.
In particular, Storybook Brawl has been unable to recover from the backlash fueled by FTX’s bankruptcy.