ChronoForge, a Web3 MMORPG, is the latest crypto firm to shut its doors after funding shortfalls and broader industry challenges.

“After discussions with the Rift Foundation, we have accepted the painful reality that we are unable to sustain the game or token utilities and ChronoForge will be shutting down services by 30 December, 2025,” said the team in an X announcement on Wednesday.

This story is an excerpt from the Unchained Daily newsletter.

The Rift Foundation, which manages the game’s token and ecosystem, has raised over $3 million through its RIFT token sale to fund development.

Web3 gaming saw a 93% year-over-year funding drop to $73 million in Q2 2025, the lowest in two years, alongside a 17% decline in daily active wallets.

Developers are increasingly pivoting from play-to-earn to AI decentralized applications, with 75% of recent funding going to infrastructure over games.