Haunted Space raised over $1 Million through NFTs and token sales but is under fire for delaying its $GAGA token launch (TGE) and apparently failing to pay creators. Here’s what’s going on.
Haunted Space, the anticipated web3 sci-fi game, is facing major heat after raising over $1 million through NFT and token sales - only to delay its token launch again and allegedly leave multiple creators unpaid. With a vocal fanbase growing increasingly frustrated and internal communications breaking down, the future of the project is starting to look shaky.
Haunted Space Faces Community Backlash
First revealed over three years ago and developed by Galaxy Lab, Haunted Space kicked off with a strong start in 2022. The team launched its Genesis NFT collection that September, bringing in around $650,000 and promising staking rewards and early access perks. Over the next two years, the game shifted blockchains multiple times - from Ethereum to Sui, then Beam, and now Avalanche - while raising even more funds through additional token sales.
In total, Haunted Space has brought in over $1 million, including a January 2024 pre-sale and a $200,000 public IDO in May 2025. But with each sale came shifting tokenomics, changing vesting schedules, and inconsistent communication that raised eyebrows. Early investors were told these were improvements - “more tokens, shorter vesting” - but not everyone bought it. Some demanded refunds. They apparently didn’t get them, as reported by Juice.
Haunted Space Faces Community Backlash
The community was told to circle May 29, 2025 - the long-promised TGE (Token Generation Event) date for Haunted Space’s $GAGA token. The marketing ramped up. Creators jumped on board. The hype was there.
Then, just one day before launch, the team posted in Discord that the TGE was off.
The reason? Haunted Space said it was selected as a flagship partner for Black Hole, a new decentralized exchange backed by the Avalanche Foundation. The plan was now to sync the $GAGA launch with Black Hole’s rollout. No specific new date was given. As of July 8, the token still hasn’t launched.
Haunted Space Faces Community Backlash
That delay hit especially hard for content creators who took part in a $100,000+ UGC (user-generated content) campaign just weeks before the missed TGE. The campaign asked creators to post promotional content on X, with the promise of being paid in $GAGA tokens after the token went live. Dozens joined, producing memes, posts, and reply threads to build momentum.
But after the TGE fell through, apparently many creators say they never got paid. To make matters worse, the project’s marketing lead reportedly vanished - deleting their Telegram account and leaving group chats inactive. One creator, 15-year-old @vert1dkrn (vert1d), publicly called out the team for ghosting and for pressuring him to delete a critical thread.
Vert1d’s post was later taken down after he received a message - allegedly from someone representing Haunted Space - demanding he delete or edit the post, suggesting it contained defamatory claims. A screenshot of the message included suggested wording for the retraction, including the line: “There has been no scamming of any kind…” Vert took down the post but later tweeted: “About to get my first lawsuit because I fudded a certain game, kinda excited.”
Haunted Space Faces Community Backlash
In response to the rising backlash, the Haunted Space team issued a public statement pushing back on claims of wrongdoing. They said delays were due to operational reasons and denied any intent to mislead the community. According to the team, development is ongoing - with a playable alpha, an Unreal Engine 5 build in progress, and financial backing from an Epic Games MegaGrant.
They also claimed the marketing account was deleted due to a hack and that all unpaid tokens - for creators, early investors, and farming participants - will be delivered after the token launch. “There has never been – and never will be – any fraudulent intent,” the team posted. “Criticism is fair. Defamation is not.”
Still, the team hasn’t offered an updated roadmap or confirmed TGE date. While Haunted Space remains active on Discord and X, key questions from the community remain unanswered. Supposedly no refunds have been offered for any of the token sales.
Haunted Space Faces Community Backlash
As of July 8, Haunted Space says it’s waiting on Black Hole DEX to finalize its launch schedule. The team claims the token will go live once that happens - “within the next 10 days,” according to the latest update. For now, the project is still in limbo. A game that once positioned itself as a flagship title in the web3 space is now facing credibility questions, frustrated supporters, and increasing pressure to deliver.
About the author
Eliza Crichton-Stuart
Head of Operations
Updated:
July 11th 2025
Posted:
July 11th 2025