Shrapnel, the PC-based blockchain shooter built by Neon Machine, has officially announced its decision to move from Avalanche to GalaChain. The announcement was made on July 30 and marks a key change in the project's web3 platform. The switch is linked to a broader plan to expand into the Chinese gaming market, one of the largest in the world.

The game will run entirely on GalaChain, although players inside and outside of China will use different versions of the game. Despite the shift in network, core gameplay and token features will stay the same, with adjustments to meet China's blockchain rules.

A Gala Partnership Anchored in China

Shrapnel's migration follows Gala Games' recent agreement with the Trusted Copyright Chain (TCC), a permissioned blockchain overseen by Chinese public authorities. This partnership allows Gala to offer services that align with local laws, especially those related to NFTs and in-game assets. A cross-chain bridge connecting GalaChain with the Trusted Copyright Chain is now under development and is set to go live in Q1 2026.

This bridge will support the legal flow of digital assets between players in China and global markets, while still operating under China's data and content regulations. GalaChain will now serve as the core infrastructure for both domestic and international versions of Shrapnel.

SHRAP Token Leaves Avalanche

With the latest move, Shrapnel's native token, SHRAP, will also migrate from Avalanche to GalaChain. SHRAP will continue as the game's onchain currency used to purchase NFTs and other assets. According to Neon Machine, up to 10 percent of revenue generated in China will be used to buy back SHRAP from the market on a regular basis.

GALA, the native token of Gala Games, will be used to pay gas fees for all transactions, including those between GalaChain and China's TCC. These cross-border transfers will consume GALA, further increasing the token's use in Gala's ecosystem.

Aiming for 600 Million Gamers

The change is part of a joint plan between Neon Machine and Gala Games to enter China's massive gaming market, which reportedly includes over 600 million players. The Trusted Copyright Chain has been selected as a local platform to allow legal and secure web3 gaming in the region.

According to Xuan Hongliang, Director of the National Operation Center of the Trusted Copyright Chain, the partnership signals the start of a long-term project to grow FPS games in China under local rules. Gala Games CEO Eric Schiermeyer added that the cross-chain bridge will allow both Chinese and international players to engage with the game without sacrificing gameplay or legal compliance.

Neon Machine's Leadership Change

Shrapnel's infrastructure shift comes after a major leadership change at Neon Machine. In December 2024, the studio named Ken Rosman as its new CEO. Rosman brings over 30 years of experience from Xbox and games like Halo Wars and Sunset Overdrive. He took over from Mark Long, one of the studio's original founders, who now serves as an advisor.

This move followed a year of financial and legal difficulties. In late 2023, Neon Machine became involved in a legal conflict with 4D Factory, its majority shareholder. The company's founders accused 4D's CEO Cort Javarone of attempting a takeover. In turn, Javarone accused Neon Machine of refusing to collaborate with the board of directors.

To support development, Neon Machine raised new funds through the Blizzard Avalanche Ecosystem Fund and other major backers. These funds are being used to complete the game's production. 

Community Reactions: Mixed and Vocal

The web3 gaming community has reacted strongly to the news. While some users support the move as a way to unlock new markets, others have posted critical comments.

Web3 content creator vert1d posted that Shrapnel "is pretty much a dead game" and called Gala "the scammiest chain in existence." He claimed the game lost support after several missteps in 2023 and said it had now moved to a chain "where most of [the games] were from other publishers who then sued Gala". 

Another content creator, Jesus Martinez, wrote that Shrapnel was "one of the top failed crypto games of all time." He accused Gala of replacing original developers and mistreating community members. He also criticized Gala Gold, a premium club where holders reportedly risk losing access if they speak out. Both tweets reflect a growing distrust from parts of the web3 audience.

Despite this, Gala and Neon Machine have stated that the move is strategic, not reactive. They plan to deliver a stable, regulation-friendly platform for blockchain-based FPS gameplay in one of the world's largest digital markets.

Previous Gala Controversies

Gala Games has also been involved in legal and operational disputes over the past two years. One of the most widely known involved Dutch game studio Gamedia, which had partnered with Gala to release the PC title Spider Tanks.

In September 2024, the Central District Court of California ruled in Gamedia's favor due to a lack of jurisdiction. The developer had accused Gala of not meeting financial and promotional commitments. Gamedia also claimed that Gala had dismissed, threatened, or sued several co-founders and staff. Gala, meanwhile, had been involved in a separate internal dispute over a token fork and burn in 2023, triggered by a lawsuit between co-founders Wright Thurston and Eric Schiermeyer.

While these issues did not directly impact Shrapnel, they continue to shape the public perception of Gala Games in the broader crypto gaming scene.

What's Next for Shrapnel and GalaChain

The next major milestone will be the full launch of the cross-border bridge in early 2026. This will allow NFTs and other assets to move legally between the Chinese and global player bases. Until then, Gala will support parallel versions of the game, each adapted to meet regional content laws.

Shrapnel continues its development under Ken Rosman's leadership, with a focus on finishing the game for a wider launch. The title remains in a pre-release state with early gameplay tests.

As GalaChain becomes a more active base for titles like Shrapnel, its success may depend on how well it handles community expectations.