Where Did It All Go Wrong for Gala Games?

Gala Games is facing a storm. The native token is selling off, down 75%, and the shutting down of The Walking Dead: Empires in July 2025 could heap more pressure. Will GALA recover?

Gamers crave a seamless interface with stunning graphics and the chance to profit from their efforts.

Smart contracts make this possible, and Gala Games seized the opportunity by launching a platform to reward gamers.

Through NFTs and native GALA tokens, players could earn massive profits from in-game NFTs. Those who believed in the platform and accumulated GALA tokens reaped big at one point in 2021.

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Gala Games Storms

Despite its ambitious goals and market position, Gala Games has been on a downward spiral in recent years.

While under pressure, GALA remains a top-tier token, ranking third in value among gaming tokens, behind only the meme coin FLOKI and Immutable (IMX), an Ethereum layer-2 focused on NFT dApps.

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However, GALA has been selling off, dropping 15% in one week, mirroring the broader market decline of tokens like Ethereum and Bitcoin.

Compared to some of the best cryptos to buy in June, its performance is lackluster. It is down 75% from its 2024 highs, with 2025 largely marked by losses.

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The Walking Dead: Empires Shutting Down in July 2025

So, what’s gone wrong? Why is Gala Games, despite its value and popularity, under such intense pressure?

A series of unfavorable, reputation-damaging events over recent months provides answers.

When Gala Games announced The Walking Dead: Empires in 2021, it was expected to be a massive success.

Launched during the NFT and DeFi boom of 2021, the announcement coincided with peak market FOMO, boosting crypto valuations.

The game built through the 2022 crypto winter, only for Gala Games to announce the game’s shutdown by July 21, 2025; a big blow.

The Walking Dead: Empires, an NFT-based survival MMORPG, allowed players to purchase Ethereum-based NFTs like land deeds, weapons, and characters, some valued at up to $65,000.

They also promised a free-to-play model with optional NFT purchases to attract traditional gamers and NFT enthusiasts chasing profits from the 2021 boom.

By late April 2025, Gala Games announced plans to shut down the game, admitting it fell short of expectations. Players echoed this, criticizing lackluster gameplay and heavy reliance on volatile NFT prices.

The 2022 NFT market crash, with prices yet to recover, hit players hard, especially those who invested thousands in NFTs or received “Mystery Boxes” from Gala Games.

As compensation, the gaming platform plans to distribute NFTs from its gaming ecosystem. These tokens will provide “equal functionality” to their existing The Walking Dead: Empires NFTs.

On X, a critic said this would be akin to a “rug pull.”

The Walking Dead: Empires officially rugs on $GALA

People paid upwards of $10K+ for lands & are now getting $2 mystery boxes pic.twitter.com/lxfu05D8Ll

— Jesus Martinez (@JesusMartinezEZ) April 30, 2025

Gamedia Wins

The situation worsened with a 2024 lawsuit ruling in favor of Gamedia, a former development partner for Spider Tanks.

A California court ruled that Gala Games failed to provide adequate support, including revenue payments and game promotion.

This ruling followed a dispute between co-founders Eric Schiermeyer and Wright Thurston over $130 million in allegedly misappropriated GALA tokens. This dispute forced prices lower as some holders diversified, finding exposure in 1000X cryptos.

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