Blockchain detective ZachXBT uncovered a series of scandals about how Gala Games and 888 allegedly rugged people for hundreds of thousands of dollars with The Orbs NFT drop. Via a Twitter thread, ZachXBT explained how this rug pull came about. Let’s dive right in.
About the 888 and Gala Games Rug Pull
The story starts in December 2021, when Gala Games announced “The Orbs” drop. This would be a collection of 3,333 generative NFTs, launched in collaboration with 888 on February 13, 2022. To get their hands on an Orb, collectors had to burn three “888 Inner Circle” NFTs for an Orb NFT or buy one at a Dutch auction.
“Between the months of December and February 13th drop many collectors acquired three “888 Inner Circle” NFTs to burn for an Orb. The floor for IC NFTs fluctuated between 1-1.5 ETH per IC so many people had spent 4+ ETH to acquire three,” wrote ZachXBT.
The high floor price of the Dutch auction received a lot of public backlash. As a result, Gala Games, BT and Bux held a livestream to announce that they would change the conditions for the drop and modify the 8.88 ETH floor. This would all have been well and good if it wasn’t for the people who had already bought in.
The repercussions of stakeholders’ decisions
“Gala then made this promise during the livestream: “If the floor price [of the DA of Orbs] goes below, because the community has spoken, the price that you have spent on your [“888 IC”] NFTs on the burning and all of that stuffs, we will make you whole, we will make good,” reminded ZachXBT.
After the livestream, Inner Circle holders could burn their three NFTs for an Orb. The floor price actually settled at 0.71 ETH. However, ZachXBT claims he spoke to three individuals who had spent 4.35 ETH, 4.42 ETH and 4.07 ETH respectively. Instead of reimbursing them, Gala Games and 888 gave Inner Circle holders a vial NFT in mid-March, which they could redeem for 6 NFT options.
The story does not stop there. The first option was supposed to be released in March but was delayed till May. What’s more, the third, fourth, fifth and sixth redemption options also went live in May.
“After all six vial redemption options, it was clear IC people had not been made whole and were at the mercy of Gala/888. Remember the three people from earlier were owed 3.64, 3.71, 3.36 ETH respectively. None of these vial redemption options equated to those amounts” continued ZachXBT.
Individuals who had been duped started voicing their frustrations on Discord. However, Gala Games simply archived the vials channel to avoid this criticism.
The blockchain detective publicly called out 888 last week for going missing on his various projects for months. Turns out 888 turned off all replies on Twitter and untagged himself from ZachXBT’s post. Gala Games also responded, saying they still won’t make people whole as they had originally promised.
ZachXBT firmly believes that 888 and Gala Games must stick to their word and reimburse Inner Circle holders. Only time will tell if this will happen or not. One thing is for sure – it’s definitely not a good look for 888 or Gala Games.