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The Esports Advocate
The Dubai-based esports organization Galaxy Racer (GXR) has failed to fulfill its financial obligations to participants and service providers following the $100,000 HER Galaxy Apex Legends Open, which concluded on June 25, 2023. Despite explicit contractual deadlines and subsequent assurances from company leadership, winning teams and the tournament platform provider, LeagueSpot, remain unpaid more than eight months after the event.
The tournament, an all-women competition, featured a prize pool that included $40,000 for the first-place team, $25,000 for second, and $15,000 for third, with the remaining funds distributed among 17 other teams. Beyond the unpaid prize money, Chicago-based LeagueSpot is reportedly owed $40,000 for its role in facilitating the event, which included building a custom white-label platform, managing competition logistics, and implementing a gender verification system.
GXR previously missed the 180-day payout window stipulated in participant contracts, which would have required payment by late December 2023. In February 2024, GXR Chief of Staff Walid Singer stated that the organization expected to finalize all prize pools and pending dues by the end of that month. However, that deadline passed without resolution. GXR has not responded to inquiries regarding the status of these payments, though the organization has previously attributed financial delays to its ongoing merger with the Dubai-based firm Riva Technology and Entertainment. The situation highlights significant operational and financial instability within the organization, leaving stakeholders without compensation or clear communication regarding the status of their funds.
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