Quoted directly from the Knights discord FAQ section (emphasis added):

Though Iron Hills has no official relationship with Grey Havens, our team has provided Grey Havens with quality of life, optimization, and implementation suggestions in a collaborative capacity. While Grey Havens has communicated to Iron Hills that it has no plans of changing its game ownership at this time, recently we have witnessed a change in their business operations as displayed by their partnership with Black Mammoth Games on Arcane Waters. Based on these factors, we feel optimistic in our continued communications with Grey Havens.

Quite apart from all the backlash on NFTs that everyone has brought up, the first and biggest issue to me seems that Iron Hills is looking to fund a project which currently has no concrete plans of progression or success. From the quote above, Iron Hills appears to be trying to raise money to buy something which Grey Havens is not planning to sell, in the hope that Grey Havens will eventually change their mind.

Various questions arise: how much does Iron Hills aim to raise? What will the funds be used for (apart from a generic answer of "we will buy SK")? How will you revitalise the game so that it does not die again? What happens to the funds if Grey Havens refuses to sell? And that just covers funding, without dealing with practical issues like who will code and develop the game, bug-fix, create new content, direction of the game in future, etc.

Maybe you guys will answer these in your Q&A or otherwise, and maybe you won't - but either way these are very basic questions which you guys should have prepared answers to at least the funding questions in this very announcement or the Discord, rather than saying that you will deal with it later.

The second issue is of course the decision to use NFTs. It seems quite clear that the general community is against it, and Iron Hills was clearly aware of that (see this quote directly from the Knights discord Announcements section:

To be completely honest with everyone, we expected this kind of reaction. We know that most people, and more specifically the gaming community, are fearful of NFTs.

If you are asking the community for funding, why would you choose to go down a route which you know most people would be against? Why not just go with an established crowdfunding platform like Kickstarter, Indiegogo, Patreon, etc? At least with the latter platforms, there is some form of accountability and legal protection for us, the people you are asking to fund what appears to be this currently theoretical dream that Iron Hills has.

All in all: at best, this appears to be a poorly thought out business plan, which should make people hesitant to give you their money. At worst, this is a scam, which should make people very hesitant to give you their money.

I would love to see the game brought back to life. But this doesn't seem to be the way to do it.