Dragon Sword Shuts Down After One Month in Korea as Webzen Issues Full Refunds

TIG SEA3 hours ago

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Dragon Sword Faces Major Crisis After One Month in Korea

The situation around Dragon Sword has escalated rapidly. Only one month after its Korean launch, publisher Webzen announced a full refund for all players who spent money in the game. This decision follows a sudden contract breakdown with developer Hound13, sending shockwaves through the industry.

Originally promoted as a spiritual successor to Dragon Nest, Dragon Sword carried high expectations from both fans and investors. However, internal and financial issues quickly pushed the project toward crisis.

High Expectations Backed by Heavy Investment

Webzen invested more than 30 billion KRW, roughly 800 million USD, into Hound13 starting in early 2024. The deal granted Webzen publishing rights and included significant development funding. The original plan targeted a March 2025 release, but repeated delays forced the publisher to extend support multiple times.

Despite weak revenue performance after launch, Webzen continued backing the project. The company even paid minimum revenue guarantees twice to help Hound13 retain staff and keep operations running. At one point, Webzen reportedly explored funding another full year of live service to stabilize the game.

Sudden Contract Termination Sparks Fallout

The breaking point came when Hound13 abruptly canceled the publishing contract and announced the situation directly to players without prior notice to Webzen. The developer also signaled that it would no longer properly maintain Dragon Sword as a live service title.

From Webzen’s perspective, this move crossed a serious line. The publisher viewed it as a breach of responsibility toward both players and business partners, leaving no option but to act decisively.

Webzen Announces Full Refund Policy

To protect player trust, Webzen rolled out immediate damage control measures. These include:

An instant shutdown of all in game purchases starting February 19, 2026
A full 100 percent refund for all players who spent money since launch
Continued access to the game for now, pending further announcements

This level of refund commitment is rare in the industry and highlights how severe the situation has become.

A Troubled Future for Dragon Sword

Dragon Sword showed flashes of classic Dragon Nest style combat and visual flair. However, financial strain and internal management issues ultimately overshadowed its potential. With the developer stepping away and the publisher issuing refunds, the future of the game remains highly uncertain.

For now, Dragon Sword stands as a cautionary tale. Strong legacy alone cannot save a project without stable development and clear communication. Whether the game can recover in any form will depend on what happens next between Hound13, Webzen, and potential new partners.