Wemade (a pioneer South Korean recreation developer and writer) introduced on July 12th that its CEO Henry Chang exercised his inventory choices and purchased 223,504 shares for an astonishing USD 2.67 million (KRW 3,5 billion) and didn’t promote a single share. Because of this, Mr. Chang’s stake in Wemade reached 1.5%.
Wemade shifted its focus in direction of metaverse and blockchain expertise with an emphasis on growing and servicing well-made video games with economically significant experiences. Because of this, Wemade developed “Wemix”, a game-centric blockchain platform (with 14 Play & Earn titles), that gives providers together with cryptocurrency pockets, NFT public sale & market, staking, and extra, primarily based on its utility coin WEMIX.
This isn’t the primary time Mr. Chang has proven his dedication to the agency. In reality, he introduced earlier this yr his pledge to speculate all his current wage and dividends in WEMIX coin. Wemade introduced on June 24th that Mr. Chang’s buy of 13,424.6 WEMIX cash (value USD 38,125.86) with the wage he obtained from the identical month. This brings his complete funding to 51,258.354 WEMIX cash (value USD 145,573.7). That is additionally the fourth time he invested his wage in WEMIX Coin, along with his dividends from final yr.
Mr. Chang has always fulfilled his promise to contribute his compensation to the sustainable improvement of Wemix ecosystem. He additionally confused that he doesn’t plan to promote a single share nor a single WEMIX coin.
CEO compensation packages are a part of company governance mechanisms. Corporations usually provide their CEOs inventory choices that tie CEO’s compensation to the corporate’s inventory efficiency which creates incentives for CEOs to handle the agency and work exhausting in ways in which maximize agency market worth.
Usually misunderstood, inventory choices are criticized for inducing prime administration to pursue methods that solely push the inventory value up within the quick time period. This is able to profit opportunist CEOs who time the train of their inventory choices to when the inventory value is excessive and promote their newly acquired shares at a premium.
Mr. Chang is without doubt one of the only a few CEOs in South Korea to put money into his firm’s inventory regardless of very excessive volatility within the capital markets.
Mr. Chang’s transfer is extremely opposite to a couple CEOs who exercised their inventory choices to promote the shares final yr, solely six to 12 months after the businesses have been listed.
In distinction, there are sometimes publicized instances the place executives carried out huge selloffs of shares obtained from their inventory choices which enraged minority shareholders. The shareholder sentiment is very robust when it takes place quickly after the corporate goes public and attracts a misconnection between the shareholders and the leaders. Nevertheless, Mr. Chang’s transfer is precisely the other.
Mr. Chang reiterated his engagement within the agency’s long-term success and shareholder worth. His dedication and exhausting work led Wemade to new heights. Lately the corporate introduced USD 131 million in gross sales income for the primary quarter of 2022 alone. This represents an astonishing 72% improve in comparison with final yr. MIR4, Wemade’s flagship P&E MMORPG (from the Legend of Mir collection) gathered 6.5 million lively customers inside just a few months of its world launch in 12 languages and 170 nations. Its successor MIR M topped Google Play’s reputation chart after its launch in South Korea in June 2022. The extremely anticipated world P&E model shall be launched inside the yr.
Since Mr. Chang’s dedication has no restrict, Wemade is predicted to proceed its profitable strike with extra achievements in each its online game improvement and publishing providers and its blockchain ecosystem.
