26th May 2026 – Moonveil Shuts Down as the Web3 gaming studio announces plans to wind down operations after four years. The project had raised $14M from investors including Animoca, HashKey, and Spartan Group before market conditions forced the closure.
High Signal Summary For A Quick Glance
- Moonveil Entertainment, a Web3 gaming studio backed by $14M in VC funding, announced a full wind-down of operations on May 26, 2026, citing unsustainable GameFi market conditions
- The $MORE governance token has collapsed 99.97% from its all-time high, and the team offered no refund, buyback, or NFT migration plan for holders
- The project raised funds from Animoca, HashKey, Spartan Group, and Gumi Cryptos Capital, yet still could not find a sustainable path forward after four years of development
- $MORE token holders (approximately 22,508 on BNB Chain) who face near-total loss of value with no compensation mechanism announced
- NFT holders of Destiny TETRA and Muse Node License collections on Polygon, whose assets will lose all utility once servers and services shut down
The team posted the announcement on X early Monday. Operations, services, and community activities will “gradually discontinue over the coming weeks,” according to the post. No refund, token buyback, or NFT migration plan was included.
“After a great deal of consideration, we are announcing the decision to wind down Moonveil and gradually discontinue project operations over the coming weeks,” the team wrote.
What Is Moonveil
Moonveil was a full-stack Web3 gaming ecosystem founded in 2022 by veterans of Riot Games and Tencent. The project combined in-house game development with third-party publishing and Layer 2 infrastructure tools.
The studio built at least seven games and products. These included AstrArk, a tower-defense strategy title with two seasonal launches. The lineup also featured Bushwhack, Flaming Pets, Puffy 2048, Puffy Miner, Puffy Match, and Starry Sort.
Its $MORE governance token launched on BNB Chain via a TGE on June 27, 2025. NFT collections, including Destiny TETRA and Muse Node Licenses, operated on Polygon.
$14M in Funding, $18K Market Cap
The funding history tells a stark story. In October 2023, Moonveil closed a $5.4M pre-seed/seed round led by Gumi Cryptos Capital and Arcane Group. Longhash, IOSG Ventures, and Infinity Venture Crypto also participated.
By August 2024, the project extended its pre-Series A to $9M total. That round brought in Animoca, HashKey Capital, and Spartan Group. Then in August 2025, Unicorn Verse added another $5M in strategic investment.
Today, the $MORE token trades at roughly $0.000058, according to CoinMarketCap. That price sits 99.97% below its all-time high of $0.13 to $0.18, set shortly after the June 2025 TGE. The current market cap is between $10,000 and $18,000.
On-chain data from BscScan shows approximately 22,508 holders. No large transfers, liquidity removals, or treasury movements appeared in the 48 hours surrounding the announcement.
Why Moonveil Shuts Down Now
The team blamed market conditions. “Over the past two years, both the GameFi sector and the broader gaming industry changed dramatically,” the announcement stated. Because of these shifts, they said they “were ultimately unable to find a sustainable path forward.”
The timeline supports that framing. Moonveil launched its testnet in January 2025 and its token in June 2025. But the GameFi sector saw sustained capital outflows throughout 2025 and into 2026.
The $MORE token hit its all-time low of $0.000031 in April 2026. That was more than a month before the Moonveil shutdown announcement. Since then, the token barely moved.
This pattern has repeated across the Web3 gaming space. Projects that raised VC funding during 2023-2024 launched tokens into a hostile market. When prices collapsed, development budgets evaporated alongside community engagement.
Timeline: Moonveil’s rise from a stealth Web3 gaming startup to its 2026 operational wind-down announcement
Moonveil Studio is founded
Moonveil Entertainment launches in the Cayman Islands under gaming-industry veterans including former Riot Games executive M.J. Wong, initially operating in stealth while building a Web3 gaming ecosystem.
M.J. Wong becomes CEO
M.J. Wong officially assumes the role of Co-founder and CEO, leading Moonveil’s long-term strategy across infrastructure, publishing, and game development.
Moonveil exits stealth with seed funding
Moonveil publicly announces a $5.4 million seed round led by Gumi Cryptos Capital and Arcane Group while revealing flagship titles AstrArk and Project B.
AstrArk pre-alpha begins
The first exclusive AstrArk pre-alpha test launches across Southeast Asia with limited early-access slots focused on gameplay feedback and balancing.
Iterative testing and ecosystem development continue
Moonveil conducts additional AstrArk testing rounds and ecosystem refinements while continuing development across its gaming and infrastructure stack.
Muse Node Sale takes place
Moonveil launches its Muse Node License NFT sale across Polygon and Arbitrum as part of its infrastructure and staking ecosystem expansion.
Infrastructure testnet goes live
Moonveil activates its infrastructure-focused testnet, advancing the project’s interoperability and gaming ecosystem roadmap.
$MORE token launches
The Node Portal launches and the $MORE token generation event takes place on June 27, with initial exchange listings beginning through Binance Alpha.
Funding expands through strategic rounds
Moonveil secures additional strategic backing from investors including Animoca Ventures and Unicorn Verse, pushing cumulative funding into the estimated $11–14 million range.
Bushwhack testing and Season 2 rollout
Moonveil launches Bushwhack playtests and Season 2 ecosystem campaigns, although the planned global alpha is delayed to further refine gameplay mechanics.
Major security breach impacts ecosystem
A compromised deployer wallet leads to the extraction of more than 55 million $MORE tokens from node reserves, forcing emergency liquidity controls and temporary staking disruptions.
Staking systems restored
Moonveil confirms full restoration of staking withdrawals and node reward functionality following emergency mitigation measures.
Operations continue amid GameFi slowdown
Moonveil maintains ecosystem operations and partnerships, including integrations with Immutable Play, despite broader contraction across the GameFi sector.
Moonveil announces gradual shutdown
Moonveil confirms plans to gradually discontinue project operations over the coming weeks, citing prolonged industry headwinds and signaling eventual shutdown of infrastructure and community services.
Services wind down progressively
Website access, ecosystem infrastructure, and community operations are expected to phase out gradually, although no formal shutdown schedule or compensation framework has been announced.
No Compensation for Token or NFT Holders
The announcement makes no mention of refunds, compensation, or buyback programs following the Moonveil Shuts Down decision. As a result, token holders and NFT owners have no stated path to recover value after Moonveil shuts down operations.
On-chain assets like $MORE tokens and Destiny TETRA NFTs will remain in users’ wallets. But without game servers, node rewards, or ecosystem services, those assets lose all utility.
The team provided only one contact channel for inquiries: contact@moonveil.studio. Exact shutdown dates for the website and infrastructure services were not specified.
Community Response Has Been Quiet
As of May 26, the announcement post on X had just 5 likes, 576 views, and zero replies. No accusations of rug-pulling or community backlash surfaced in the hours after the post.
That silence is telling. A token down 99.97% from its peak suggests most active community members left long before Moonveil shuts down officially. The low engagement also aligns with near-zero trading volume.
No major crypto media outlets, including CoinDesk, The Block, or Decrypt, had covered the Moonveil shutdown as of the time of this report.
What This Means for GameFi
The fact that Moonveil shuts down despite $14M in backing sends a clear signal to the GameFi sector. The project had credible backers, experienced founders, and a multi-product roadmap. It still could not overcome the market.
For investors and token holders, the takeaway is direct. VC backing and gaming-industry credentials did not protect against a sector-wide contraction. The $14M raised and $18K market cap at shutdown captures that gap in stark terms.
Moonveil’s wind-down is gradual, and the team remains reachable during the transition. Whether any further details emerge about treasury disposition or community support remains an open question.
This is not financial advice.
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