Definitely.
Between merch and subs -- a $500k injection (taxes aside) is massive for a project like this. Even if they lose 20% of the subs month over month for 6 months, they'll have taken in nearly 2 million dollars and still have 10k'ish subs at that point and 3 million if they maintain 10k subs for the last 6 months of the year.
That's not a ton of resources, but it's easily enough to get the game through the first year.
Obviously, I don't know the details, but several key people from the team are from parts of the world where wages are much, much lower than the West. Additionally, quite a few of them are effectively part-timers; either by choice or the fact that they weren't being paid. Passion goes a long way, but it only lasts so long when you're earning literally zero dollars.
If things continue to do well they should be able to start paying most (or all of the team) and there's really no disputing that people getting paid will increase productivity significantly. Also, having the cash to outsource some stuff will increase production speed.
