In the world of CS2, a significant figure has departed. Unfortunately, YaLLa Compass is discontinuing their tournament series that offers a prize pool of 1.5 million dollars. Additionally, what adds to the concern is that players, employees, and other talents are yet to receive over a million dollars in payment.
It appears that YaLLa Esports, known for hosting various Tier 1 and 2 CS2 tournaments, found itself facing over a million dollars in debt. Subsequently, on August 6th, they made a quiet announcement about ceasing their operations.
The journey of YaLLA Compass, initiated by an earlier post on their platform by an Arab company, has concluded. Following this announcement, they shut down all their additional social media accounts and the website.
Klaus Kajetski, the founder and CEO of YaLLa.
Who is YaLLa Esports in debt with, and what’s the status of their payments?
As a dedicated gamer involved with YaLLa, I’ve got to be honest – we’re in a tough spot right now. You see, our debt has reached millions, and it’s being shared among teams, players, and even our former staff members. To respect everyone’s privacy, most of the complaints are kept under wraps. But trust me, there have been some who’ve spoken up loud and clear about the money they’re yet to receive, taking their concerns to social media platforms.
| Creditor Type | Approximate Amount Owed | Main Concern / Complaint |
|---|---|---|
| Teams (prize money) | ~$700,000 ($200K to MongolZ, $250K for Honor of Kings’ roster) | Unpaid winnings despite tournament participation |
| Employees & Staff | ~$160,000 | Unpaid salaries, missed payroll for multiple months |
| Talent (casters, media staff) | >$35,000 | Unpaid fees for event work |
| Contractors / Production Companies | Not disclosed | Invoices unpaid; out-of-pocket spending |
| 1xBet (sponsor refund) | $160,000 (of the initial $250,000) | Refund required due to cancelled events |
Wadih Al Sayah, who used to be a co-owner of YaLLa Esports, has spoken out on this matter as well. Back in 2025, he was let go from the organization, and it’s believed he is owed over $272,000. After going through legal battles with the organization, he managed to secure some of the money he was due. Unfortunately, the whole situation left him feeling deeply affected.
Al Sayah expressed that the discontinuation of YaLLa felt akin to a painful blow, and he’s yet to recover from it. He had witnessed the growth of their esports squads prior to Klaus shuttering them all in favor of concentrating on tournament management. This move didn’t sit well with him. The halt of the esports team’s activities occurred not long after their Honor of Kings team had achieved success at the International Championship 2022, earning a prize money of $250,000 from Tencent. However, some players reportedly did not receive their winnings.
List of reasons why YaLLa had to declare bankruptcy
According to an article by HLTV, it appears that the CEO of YaLLa Esports had been aware of numerous operational problems within his organization for several years. The sudden shutdown of all their esports teams raised serious concerns. Furthermore, they made a number of blunders throughout the closure process.
- Tournament expansions: After releasing their esports teams in 2023, YaLLa started their Compass CS:GO tournament series, where they offered $400,000 prize pools for the Tier 2 scene, leading to a Tier 1 LAN final. While this was huge news for the emerging teams, it’s not an easy product to market.
- Poor coordination: Following the previous point, YaLLa Esports’ debt was also from negligence. Earlier this year, the YaLLa Compass Winter 2025 edition lost their Tier-S HLTV status after not complying with Valve’s new rules regarding invites and tournament stages. This caused them major problems with their sponsors.
- The 1xBet-Qatar fiasco: YaLLa Compass Qatar was scheduled too close to another BLAST tournament. This obligated them to change it to an online format, and half the prize pool to $300,000. Thus, 1xBet penalized and fined them with $160,000 of the agreed $250,000. According to HLTV’s report, YaLLa Esports still hasn’t paid this debt to their sponsor.
- A tone-deaf liquidation process: Allegedly, Klaus Kajetski constantly lied to his employees about their payments. He had them working for free for months before scheduling an online meeting where he announced the cessation of operations, while talking about the hardships he alone endured.
- Exit without paying: By the end of this publication, YaLLa Esports closed before paying over $700,000 to the teams that played their tournaments, like The MongolZ, NaVi, and more.
It seems like there are cash flow issues right now, but as soon as we receive funds from a sponsor, making sure you all get compensated promptly will be our top priority.
Klaus Kajetski, YaLLa Esports ex-CEO — according to an anonymous former employee
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2025-08-12 16:52