LGD Gaming reportedly disbands after rumors of bankruptcy cover image

LGD Gaming reportedly disbands after rumors of bankruptcy

LGD Gaming seemingly heads towards a dreadful end.

LGD Gaming is one of the most notable Dota 2 teams, having spread its dominance since Dota 2 esports first emerged. It is touted as the most consistent team of all time, showcasing stable top performances every year. But the glorious days of LGD Gaming may just head towards a dreadful end following rumors of bankruptcy and disbandment. Buckle up people, there's a lot to unpack.

UPDATE: LGD Gaming has officially announced its hiatus from Dota 2 competition and withdrawal from the upcoming Elite League. It will adjust its Dota 2 line up and participate in the follow up tournament.

Xiao8 announces LGD Gaming's disbandment

A Reddit post by user u/Sccc64 shared a screenshot of Xiao8's WeChat fan group. The long time coach of LGD announced that LGD Gaming has disbanded and they just had their last meal together. The Reddit post also mentioned more controversy that occured between LGD Gaming and its former player, Yang "Chalice" Shenyi.

Chalice, who has been actively live streaming, did not hold back to release bold claims and information. Even during The International 10 era, Chalice has brought forth the issue of unpaid wages from LGD.

According to Chalice, LGD owes salaries to all players, specifically 100,000 RMB ($13,846 USD) to Chalice himself. He also claimed that LGD was taking the stream revenue of his former teammate, Wang "Ame" Chunyu.

To these barrage of allegations, the CEO of LGD Gaming, Pan "Ruru" Jie, fires back against Chalice. She confronted him for spreading rumors and threatened legal action. However, Chalice stands firm on his ground and stated that he wasn't afraid.

LGD also may be heading towards bankruptcy

Chinese YouTube channel, Dota Lin Official, that regularly covers Dota 2 news in the region posted a video regarding LGD Gaming's bankruptcy. It compiled livestream moments and video clips that showcases LGD's tight financial situation.

Players like Lin "planet" Hao, Ame, and Chalice have all mentioned about unpaid salaries. On top of that, the players also stated that LGD Gaming has relocated its base from Shanghai to Changsha because the organization could not afford the former base.

LGD Gaming's bankruptcy rumor is further backed by LGD's manager, Da Fei. In a livestream, he entailed how LGD Gaming (formerly PSG.LGD) was manageable pre-2019. But when the 2020 pandemic era began, it was difficult to find sponsorships. At the same time, they signed a 2-year contract with an all-star lineup that took a lot of investment.

LGD Gaming seems like it had gradually blew up after a period of minimal income and a taxing expense. This might just be the end of the legendary Chinese team. However, no official announcements have been made. LGD Gaming is also gearing up to play a massive online tournament, Elite League, on March 31st.

We have yet to see if the roster competes or if changes will be made. Until that, we should take the disbandment and bankruptcy rumors with a pinch of salt.

Stay tuned to esports.gg for more Dota 2 news and updates.