Ashes of Creation, the long-awaited MMORPG that finally hit early access on Steam, is in chaos. Over the weekend, news broke that Intrepid Studios has laid off its entire staff. Many senior developers had already resigned after founder Steven Sharif stepped down, leaving the company in turmoil.

Sharif addressed the situation on the game’s Discord, explaining he resigned after losing control of the company. He claimed the Board began making decisions he couldn’t ethically support. His departure triggered a chain reaction, senior staff walked out, and the Board moved forward with WARN notices, signalling mass layoffs.

Ashes of Creation collapse: team laid off as future hangs in doubt

Internal communications revealed that all positions were affected and that February 1 payroll would not be processed due to financial problems. The “permanent plant closing” description leaves little doubt about the game’s survival. Employees who trusted the studio now face uncertainty and unpaid wages.

Players and backers quickly reacted online. Steam forums called the situation a “pump and dump,” while some suggested class action lawsuits. Early access sales could total around 319,000 copies, roughly $14 million at $49.99 per copy. Refunds and legal action now appear inevitable.

Investigative fans also dug up company filings showing Sharif as the sole Board member, with John Moore listed as CFO. Kickstarter backers pointed to clauses promising refunds if the game didn’t launch, raising more questions about accountability.

Ashes of Creation remains available on Steam for £41.99 ($49.99), but with its future highly uncertain, backers and new players may want to think twice before buying.

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