Shares of Enhanced Games (ENHA) plunged roughly 50% on Tuesday, wiping out hundreds of millions in market value after the company’s first live event in Las Vegas produced just one unofficial world record. The six-hour spectacle, which drew 42 athletes and a $25 million purse backed by Peter Thiel and Donald Trump Jr., ended with Greek swimmer Kristian Gkolomeev clocking 20.81 seconds in the men’s 50m freestyle — a mark that beat Cameron McEvoy’s 20.88-second record but was never ratified by any official body.
One record, 42 athletes, and a lot of performance enhancers
The company went public at a $1.2 billion valuation, but investors quickly soured after the event failed to deliver the promised spectacle. Of the 42 competitors, 91% used testosterone, 79% took human growth hormone, and 62% consumed stimulants like Adderall and modafinil ahead of their events. Clean athletes, including Olympic gold medalist Hunter Armstrong, still managed to win three events outright; Armstrong took the men’s 50m backstroke without any banned substances. Sprinter Fred Kerley won the 100m in 9.97 seconds — a time that wouldn’t have qualified for the Paris Olympics final.
From $1.2 billion valuation to a steep decline
ENHA stock opened near $2.67 on Tuesday, down from Friday’s close of $5.36. The company’s market capitalization fell from $981 million on May 7 to roughly $655 million after the crash — a drop of more than $300 million in a single day. The only world record set was Gkolomeev’s 50m freestyle, which came in an event that allowed nearly universal drug use. Critics questioned whether the Enhanced Games brand, which bills itself as a drug-optional alternative to traditional competition, can sustain investor interest after a debut that felt more like a sideshow than a revolution.
Venture capital bets and a robot comparison
The event was the first real test for a concept that has attracted high-profile backers, including Thiel and Trump Jr. But a similar venture-backed spectacle occurred a week earlier: Figure AI’s humanoid robot lost to a human intern in a package-sorting contest. That loss, like the modest returns from the Las Vegas games, raises questions about whether deep-pocketed hype can deliver on its promises. Enhanced Games now faces the challenge of proving it can draw paying audiences and world-class athletes without the sanctioning of any established sports federation.
What remains unclear is the company’s next move. The stock is trading near its all-time low, and no follow-up event has been announced. The $1.2 billion valuation that looked so bold on paper now seems like a distant memory.
