According to a recent blog post, 0xfanfaron, CEO of nonfungible tokens (NFTs) gaming project Ragnarok, apologized publicly for his missteps in leading the company.
Ragnarok is a crypto startup that brought in $15.5 million worth of Ether (ETH) for gaming development in April through its first-ever NFT sale.
However, 0xfanfaron disclosed: "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."
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0xfanfaron further elaborated that he sold the firm's Ether positions through a series of trades with the plan to reinvest at a "better time."
The venture led to $1.827 million in realized losses.
Among Ragnarok's other expenses during that time were $1.9 million paid for outsourcing development work and $6.9 million in salaries and compensation to team members.
0xfanfaron vouched he will be "compensating the Ragnarok treasury for all trading losses."
This will be done via returning $600,000 from the NFT sale, a payment of 163.8 Ether, and reducing his NFT compensation by $600,000, along with taking a pay cut of $200,000 for the next four months.
Another team member, Krimbo, also pledged to return $250,000 worth of his compensation.
For greater transparency, 0xfanfaron published a list of wallets that will be used to compensate the firm's trading losses.
To move forward, he pointed out that the firm still has over $10 million in its treasury remaining and claims to have the full support of investors in continuing as CEO.
Ragnarok expects to launch its first game arcade within the next seven months. - Cointelegraph