- The esports tournament Creator League, promoted by MrBeast, has been paused due to blockchain tech issues, leading to eFuse’s reported staff layoffs
- Some celebrity promoters were concerned that the Community Passes might be considered NFTs
- Despite the setback, eFuse will proceed with a planned Fortnite tournament
The recently launched esports tournament Creator League, backed by YouTube star MrBeast and featuring notable influencers like Bella Poarch, iShowSpeed, and Clix, has been halted due to issues around the blockchain technology behind it. The creator, esports company eFuse, has also reportedly laid off approximately 30% of its workforce as part of a company-wide restructuring effort just days after the launch of the league.
Blockchain Technology Strikes a Nerve
The Creator League was heavily promoted over the weekend and included ‘Community Passes’ priced at $20 each, associated with the esports league’s team leaders, allowing fans to access exclusive Discord servers, participate in league-related polls, and engage in specific competitions. The league was to be launched on the Near blockchain in order to enhance transparency regarding inventory levels, but the use of blockchain technology seems to have struck a nerve.
After the league’s launch, some influencers expressed concerns about the implementation of blockchain technology and the Community Passes, which some believed were NFTs. This isn’t a trifling concern, given that a handful of celebrities have been pulled up for promoting cryptocurrencies and NFTs later ruled securities. eFuse clarified that it utilized the Near blockchain to “validate data and log information related to the community passes” and emphasized that the passes were not NFTs.
It seems, however, that the passes function as ‘soulbound’ tokens, which are locked to the wallet that initially creates or purchases them and cannot be traded. This classification still aligns with the concept of NFTs, even though they lack speculative trading characteristics.
Refunds Available for Community Pass Owners
Despite the league’s postponement, eFuse intends to proceed with a Fortnite tournament that was originally scheduled as part of the Creator League, and details regarding the rescheduled first split of the Creator League will be disclosed in the upcoming weeks.
Regarding the participation of creators in the project, there has been no official confirmation of any departures. However, YouTuber CdawgVA did express his intention to withdraw from the league upon learning about the use of blockchain technology, implying that his involvement in the league’s return is improbable.
Anyone who has purchased a Community Pass has the option to request a refund by utilizing a newly added button on the community hub page, but eFuse has not specified what alternatives will be provided to those who choose to retain their Community Pass.
