Esports betting has emerged as a booming industry, valued at over $2.5 billion in 2024 and projected to reach $3.2 billion by 2028. However, the narrative surrounding this sector is complex, marked by a history of unregulated bookmakers and record-breaking sponsorship agreements. From its humble beginnings to becoming a mainstream phenomenon, esports betting has experienced significant transformations.

Currently, tournaments like the Esports World Cup, boasting a staggering $60 million prize pool, draw tens of thousands of fans in attendance, with millions more tuning in online. In traditional sports, betting is commonplace, so why is it not yet a universal practice in esports?

A Look Back: Early Days of Esports Betting

Initially, esports betting was largely unregulated, as were many tournaments, leading to widespread match-fixing and other illicit activities. During this period, betting was primarily conducted through CS

skin websites, where gamers used in-game cosmetics as a form of currency for gambling. This practice raised serious legal concerns, especially regarding underage gambling.

The landscape began to shift in 2010 when Pinnacle became the first bookmaker to offer dedicated esports markets. Its growth was steady, but it exploded in popularity around 2020, a boom fueled by the COVID-19 pandemic. As traditional bookmakers entered the market, endemic esports betting sites began to proliferate.

The Rise of Modern Esports Betting

By 2015, the esports betting industry had to adapt when Valve banned skin betting, prompting established bookmakers to step in. Initially, bettors could only wager on match winners, but the options expanded to include betting on specific maps, player performances, and various in-game statistics.

As of 2024, esports betting mirrors traditional sports betting in many respects. Major platforms like DraftKings and Bet365 now offer a variety of markets similar to those found in traditional sports. Bettors can engage in diverse wagers for major events, including Moneyline bets, handicaps, and over/under on maps, kills, and rounds. Bettors can even predict specific in-game occurrences, such as the number of times a bomb is defused.

Understanding Odds: How Are Lines Created?

New bettors often wonder how betting odds are determined. Typically, an external company, rather than the bookmakers themselves, handles this. One such provider, Oddin.gg, employs a mix of proprietary statistical models, machine learning, and advanced data analytics, along with insights from former esports players who serve as traders. Their systems can adjust odds in real-time, responding within seconds to game developments, making esports betting a dynamic experience.

Oddin.gg also maintains varying levels of collaboration with game publishers and tournament organizers to ensure integrity within esports competitions. Their involvement with the Esports Integrity Commission highlights their commitment to promoting a transparent and fair betting environment.

Popular Betting Platforms and Games

Several popular platforms facilitate betting on major esports, including:

• Bet365
• Betway
• DraftKings
• FanDuel
• PrizePicks

The most bet-on esports titles include Counter-Strike 2, League of Legends, Call of Duty, Dota 2, and Valorant. Industry experts note that the “big three” titles—Counter-Strike, Dota 2, and League of Legends—account for 80 to 90 percent of the betting volume. Valorant has also seen rapid growth, recently becoming the fourth most popular esports for betting.

The Surge of Prop Betting

As the esports betting landscape evolves, Prop Betting has gained prominence. These speculative wagers focus on specific in-game events, such as predicting whether a player will achieve a certain number of kills in a map. For instance, a typical Prop Bet might state: Over/Under Scump to achieve 6.5 kills in Map 2—to win, Scump must secure at least seven kills.

Bettors can also engage in daily fantasy games on platforms like PrizePicks, expanding their options within the esports betting arena.

Essential Tips for New Bettors

Newcomers to esports betting should prioritize regulated sites. While unregulated platforms are becoming rarer, it’s safer to gamble on sites with a Know Your Customer (KYC) verification process. This legal requirement helps prevent underage gambling by cross-referencing user information with government records.

Experts emphasize the importance of robust online controls to assist those with gambling issues. Features like self-exclusion and time-outs are available, allowing players to limit their betting activities and promote responsible gambling.

Conclusion: Navigating the Future of Esports Betting

Esports betting has transformed significantly since the early days of skin gambling, yet it still grapples with unique challenges inherent to its nascent industry. In a forthcoming article, we will explore these challenges, delving into issues related to legality, problem gambling, and security.