After facing allegations of mounting debt and delays in repaying a creditor, Talon Esports has finally issued an official statement acknowledging its financial trench, while vowing to address the lapse.
In an X (formerly Twitter) post on Aug. 27, the Asian esports organization said it values transparency, adding that its financial troubles have led to “unforeseen administrative delays in prize pool distributions.”
“We recognize that this may cause distress among our players, and we have taken active steps to resolve this.” Talon wrote in the post, before promising to process all pending prize money payments to former players by Sept. 6 and to current players by Sept. 30. “We regret the delay and sincerely apologize to our players for any frustration caused.”
Reiterating its “unwavering” commitment to player welfare, Talon also stressed that despite the prize money delays, it has completed all player salary payments in full to date.
The Hong Kong-based organization also addressed its money situation, noting that it’s working with advisors to ensure “this matter is addressed based on evidence and due process.” By “this matter,” it’s likely referring to broader difficulties related to its finances, but mainly its ongoing feud with a creditor named Hedgedhog7 on X, which first brought these issues into the spotlight.
On Aug. 25, Hedgedhog accused Talon CEO Sean Zhang of manipulation, failing to repay a $1 million loan on time, and withholding a $75,000 interest payment. Zhang noted “miscommunication” as the reason behind the dispute and urged Hedgedhog to remove their accusatory tweet. The creditor refused, saying they had had enough of the delays and manipulation.
As of Aug. 27, Hedgedhog claimed they were still waiting on the interest payment, though they acknowledged receiving an intimation about it. Zhang, however, confirmed the transfer was made on Aug. 26, stressing that the relevant proofs of payment had been sent to the creditor. “Bank transfers take time to process internationally, but we shared screenshots of the transfer immediately,” he wrote, before adding that he would not comment further on the matter “unless advised.”
Talon has long been a prominent presence in the Asian esports scene, fielding teams across multiple titles, including League of Legends, VALORANT, Dota 2, PUBG Mobile, and more. For an organization of this stature to stumble in such a manner raises a larger question: how profitable is the esports business in 2025?
[Update: 7:30am CT, Aug. 28] Hedgedhog confirmed they have received the $75,000 interest payment, effectively (and hopefully) ending their feud with Talon. In their post on X, however, they added that the money will be donated.
