The 20-strong firm, which late last year launched the Lego Batman computer game and has worked for companies including Playstation. Kickers and Malibu, has shut down its website and is not answering phone calls.
Loss of business with Playstation, one of the agency's key clients, and the effects of the credit crunch and banks cutting borrwing are believed to have led to its demise.
Three of the agency's staff have formed a breakaway called Create London. The new gency was set up by project manger Thomas Scott. Both clients were formerly with Making Waves.
Making Waves CEO Matt Williams was not available for comment.
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