Esports betting has emerged as a formidable industry, valued at over $2.5 billion in 2024 and projected to reach $3.2 billion by 2028. However, the narrative of esports betting is far from straightforward, encompassing a history of unregulated bookmakers alongside record-breaking sponsorship deals. The landscape of esports betting has truly witnessed it all.
Today, tournaments like the Esports World Cup feature staggering prize pools of $60 million, attracting tens of thousands of fans in person and millions more online. In traditional sports, betting is ubiquitous, but the same cannot be said for esports, despite its professional athlete status. So why isn’t betting as prevalent in this arena?
Though it might seem like a recent trend, esports betting has actually existed for years. In this article, we’ll explore the history of esports betting and highlight some common betting types.
Early Esports Betting
In its infancy, esports betting was largely unregulated, mirroring the state of many early tournaments. Issues like match-fixing and other illicit activities were rampant. Initially, most esports betting took place on CS skin websites, where gamers used in-game cosmetic items as a substitute for cash wagering. This practice raised concerns over legality and underage gambling. In 2010, Pinnacle became the first bookmaker to offer dedicated esports markets. The industry’s growth was gradual until it surged in popularity around 2020, driven by the COVID-19 pandemic. This period saw the emergence of more endemic esports bookmakers and the involvement of non-endemic operators as well.
Modern Esports Betting
The landscape of esports betting began to evolve significantly around 2015 when Valve imposed a ban on skin betting, prompting traditional bookmakers to enter the market. Initially, betting options were limited to simply wagering on match winners. However, as the industry matured, platforms expanded their offerings to include bets on individual maps, player performances, and more.
By 2024, esports betting closely mirrors traditional sports betting. The same bookmakers, such as DraftKings and Bet365, operate in both arenas, providing similar betting markets. For instance, if you want to bet on a major Counter-Strike 2 match, you can explore various options, including Moneyline bets, handicaps, and Over/Under wagers on maps, kills, rounds, and even specific game events, such as the number of times the bomb will be defused.
How Are Betting Lines Created?
New bettors often wonder how odds are determined. Generally, the task falls to external companies rather than the bookmakers themselves. One such provider is Oddin.gg, which employs a blend of proprietary statistical models, machine learning, advanced data science, and the expertise of its traders, many of whom are former esports players. This approach enables them to set the odds that bettors rely on. Oddin.gg claims their lines can adjust within 1-2 seconds in response to real-time game action, enhancing the engagement of esports betting.
As the industry continues to grow and evolve, esports betting stands poised for a promising future, offering exciting opportunities for both bettors and operators alike.
