Esports Is Getting Bigger, And So Is The Betting

Picture credit: Ella Don on Unsplash

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Esports, also known as either professional or semi-professional competitive gaming in an organized format such as a tournament or league with a specific goal or prize, is big business, and it’s getting bigger. You can now even go to college and get a scholarship to play esports, according to the non-profit National Association of Collegiate Esports (NACE) with 170-plus schools involved and $16 million in funds available.

With growth often comes bigger audiences. 

In 2019, there were 200.8 million occasional viewers and 197 million esports enthusiasts, making the total audience 397.8 million, according to esports data specialist company, Newzoo. That last figure rose to 435.9 million in 2020 with a further 8.7% year-on-year growth expected in 2021 to total an esports audience of 474 million.

By 2024, it will be even bigger with Newzoo predicting an annual growth rate of approximately 7.7% in the period 2019 to 2024, resulting in a total esports audience of 577.2 million. 

With a global market — much of the current growth is happening in less mature esports areas, including Africa, Asia-Pacific, the Middle East, and Latin America, while increased use of mobile streaming is driving demand in markets like India and Brazil — one Canadian-specialized esports betting company is trying to match demand with its own program’s growth.

Betting on Esports Betting Growth

Vancouver-based Fandom Sports Media Corp. FDMFDMSF said on December 29, 2021, that it had completed its peer-to-peer (P2P) wagering platform, which is now live and ready for revenue generation.

With the company approved to provide Skrill and Neteller payment services as solutions, customers can now fund their accounts to facilitate P2P wagering on esports with eventual sports and other gaming offerings scheduled for the first quarter of 2022, the company said.

“We are super excited to have completed our banking and payments integrations,” Fandom CEO and president, David Vinokurov, said at the time of the announcement. “Now that the first iteration of our modular wagering platform is live, the company will be transitioning to an operating and revenue generation trajectory.”

In April 2021, Fandom said it completed a raise of just over $5 million with the proceeds being used for technology development, business development, general corporate purposes, and operations in Canada and abroad.

DraftKings Inc. DKNG, Flutter Entertainment plc PDYPY, which owns betting brands like Betfair and FanDuel, and Caesars Entertainment Inc. CZR are other players in the sports betting industry.

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