eSports betting has become a significant aspect of the American sports and gaming landscape, with millions of dollars being exchanged each year.
The rise of online gaming and the popularity of esports has led to an increase in esports betting opportunities, making it a lucrative industry for both casinos and bettors.
To better understand the essence of eSports betting legality in the USA, we cooperated with a recently launched project, Jackpot Sounds. It’s a platform that provides insights into the gambling industry in the USA. With a focus on legality, the project is proficient in navigating the complex regulatory landscape of gambling and betting in the country. Jackpot Sounds is going to aggregate data from various big wins to provide an all-around overview of gambling in different states.
History of eSports Betting in the USA
eSports betting started in
|
2010
|
Legal betting age
|
21
|
Most popular eSports
|
Dota 2, Counter-Strike: Global Offensive, League of Legends, Fortnite, Valorant
|
Fully legal in
|
Nevada, New Jersey, Tennessee, and West Virginia
|
Esports betting has its roots in traditional sports betting, which has a rich history in the United States.
With the advent of digital technology and the rise of esports, a new betting avenue has opened up, building upon the foundation of sports betting.
The Beginnings of eSports Betting
The first official esports bet was placed on StarCraft 2 in 2010, and since then, the industry has grown exponentially. The repeal of the Professional and Amateur Sports Protection Act (PASPA) in 2018 opened the door for betting regulation, further boosting the growth of esports betting.
The Rise of eSports Betting
As eSports' popularity increased, so did betting, especially as player and team fandoms emerged. By December 2014, Pinnacle had recorded over 1m eSports bets taken. The growth of eSports also caught the attention of other non-endemic bookmakers, such as
- Unibet,
- Bet365,
- William Hill, and
- Dafabet.
Legal Challenges and Opportunities
Despite the growing interest in eSports betting in the USA, there are still legal challenges to overcome. The Wire Act of 1961, which was designed to prevent illegal bookmaking, has been a significant obstacle for eSports betting in the USA.
While eSports betting in the USA still faces legal challenges, there are opportunities for growth and development in the industry. With the right regulations and oversight, eSports betting can become a significant contributor to the US sports betting market, providing fans with new and exciting ways to engage with their favorite games and teams.
Esports Betting Legality in the USA
Esports betting has gained significant popularity in recent years, with fans wagering on various esports titles such as
- Dota 2,
- Counter-Strike: Global Offensive,
- League of Legends,
- Fortnite,
- Valorant,
- FIFA, and others.
This growth has led to an increase in the number of operators offering esports betting, including
- DraftKings,
- Betway,
- FanDuel,
- bet365,
- William Hill,
- LeoVegas, and
- Pinnacle.
Legal Landscape of Esports Betting in the USA
Esports betting is fully considered to be legal in Nevada, New Jersey, Tennessee, and West Virginia. However, some states offer regulated access to esports betting, including
- Arkansas,
- Delaware,
- New York,
- Iowa,
- Illinois,
- Michigan,
- Rhode Island,
- Montana,
- New Mexico,
- Oregon, and
- Pennsylvania.
Being regulated means that players are allowed to have access to this type of betting, but specific rules and restrictions apply.
States with Specific Esports Betting Regulations
Nevada has approved betting on several esports, including
- the League of Legends Europan Championship (LEC),
- League of Legends Championship Series (LCS),
- the Overwatch League (OWL),
- CS: GO, and
- eNASCAR events.
New Jersey allows customers to place wagers on games such as
- LCS and LEC,
- CS: GO,
- Call of Duty,
- Rocket League, and
- eNASCAR.
West Virginia allows players to wager on numerous esports such as
- CS: GO,
- DotA 2,
- League of Legends,
- Overwatch,
- Rocket League,
- Call of Duty,
- Valorant,
- FIFA,
- NBA2K20,
- Hearthstone,
- Apex Legends,
- Rainbow Six Siege,
- Street Fighter,
- PlayerUnknown’s Battlegrounds, and
- Fortnite.
States with Unclear or Prohibited Esports Betting
Most states have not yet fully addressed the issue of esports betting, leaving it in a legal gray area. Some states, like Indiana, have specifically outlawed esports betting, making it impossible for sportsbooks in those states to offer esports wagering even if they want to.
Esports Betting and Age Restrictions
In most states, players have to be over the age of 21 to be legally allowed to gamble. However, West Virginia allows customers over the age of 18 to enjoy this activity.
The Future of Esports Betting in the USA
Esports betting is expected to continue growing in popularity, with more states likely to legalize and regulate it in the future. The integration of esports betting into existing or new legal frameworks will depend on how the industry addresses integrity issues, which are overseen by the Esports Integrity Commission (ESIC).
Esports Betting and Traditional Sports Betting
Esports betting is often compared to traditional sports betting, with both industries offering similar wagering opportunities. However, esports betting has its unique aspects, such as the demographic it attracts and the need to protect underage players and athletes from gambling-related harm.
Most Popular eSports to Bet on in the USA
Esports have revolutionized the world of competitive gaming, captivating audiences globally with thrilling gameplay and intense competition.
In the USA, esports betting has emerged as a popular and exciting way for fans to engage with their favorite games on a whole new level.
From iconic titles like Dota 2 and League of Legends to fast-paced shooters like CS:GO and Fortnite, the landscape of esports betting in the USA offers a diverse array of options for enthusiasts looking to test their skills and knowledge.
Let's delve into the most popular esports titles that attract bettors and fans alike, offering a unique blend of strategy, skill, and adrenaline-fueled action.
Dota 2
Betting on Dota 2 in the USA has become increasingly popular, with millions of fans and players investing in the game. Dota 2 is a multiplayer online battle arena game developed by Valve Corporation, which has a massive following and attracts a significant amount of betting action.
The International, Dota 2's annual championship tournament, is one of the most popular esports events to bet on, with a prize pool that exceeded $25 million in 2021.
Dota 2 betting is available at most esports betting sites, with various types of bets available, including
- match winner,
- spread betting,
- prop bets,
- totals,
- parlays, and
- futures.
Real money betting is the most common form of Dota 2 betting, with licensed bookmakers offering various betting markets and options.
LoL (League of Legends)
LoL is another major esports title with a massive following. The League of Legends World Championship is a global spectacle, attracting millions of viewers and offering various betting markets.
Esports betting on LoL has become increasingly popular, with millions of fans and players investing in the game.
LoL is a multiplayer online battle arena game developed by Riot Games, which has a massive following and attracts a significant amount of betting action.
The game features two teams of five players, each of whom summons a ‘champion’ to compete on a single map known as Summoner’s Rift, with the objective being to destroy the other team’s nexus.
NBA 2K
NBA 2K is a popular sports simulation game with a dedicated esports scene.
Betting on NBA 2K esports has become increasingly popular in the United States, with the video game industry experiencing significant growth in recent years.
This growth is due in part to the ability of video games to attract a relatively young demographic, which is a major concern for professional sports leagues trying to build their fan base. Esports, in particular, has seen a surge in popularity, with more than 250 million people watching esports worldwide.
Fortnite
Fortnite is a popular battle royale game with a thriving esports scene. Its fast-paced gameplay and dynamic nature make it an attractive option for bettors seeking unique and engaging wagering opportunities.
Esports betting offers various types of bets, including
- spread bets,
- money line bets,
- totals bets, and
- prop bets.
Bettors can wager on
- an outright match winner,
- point spreads,
- tournament victors, and
- event prop bets for individual players.
The global esports betting market is projected to grow at a rate of 7.27% over the next four years before peaking at $3.3 billion in 2028.
Top Upcoming eSports Tournaments in the USA
The world of esports is a thriving and ever-evolving landscape, with a plethora of tournaments taking place across the United States and beyond.
These competitions showcase the skills of the best players and teams in various games, offering fans an opportunity to witness intense battles and high-stakes showdowns.
Hussar Cup
The Hussar Cup is a premier esports tournament held in the United States, featuring a wide range of games and attracting top-tier talent from around the world. The Hussar Cup will once again bring together the best players in a series of thrilling competitions.
The tournament is known for its high production values, engaging commentary, and a prize pool that attracts the most skilled and dedicated competitors.
The Hussar Cup is expected to be no exception, with a lineup of games that includes
- League of Legends,
- Dota 2,
- Counter-Strike: Global Offensive, and more.
Halo World Championship
The Halo World Championship is an annual esports tournament dedicated to the popular first-person shooter game, Halo. The championship will return with a renewed sense of excitement and competition.
Teams from around the world will compete for a substantial prize pool, with the best players demonstrating their skills in intense matches.
The Halo World Championship is a must-watch event for fans of the game, offering a glimpse into the future of competitive Halo play.
BLAST Premier 2023
BLAST Premier is a global esports tournament series featuring some of the world's best Counter-Strike: Global Offensive (CS:GO) teams.
The BLAST Premier series will continue to captivate audiences with its high-level gameplay and thrilling matches. The tournament offers a substantial prize pool, attracting top talent from around the world. The BLAST Premier series will consist of several stages, including
- the Spring Groups,
- Spring Finals,
- Fall Groups, and
- Fall Finals, culminating in the World Final.
BLAST Premier: Fall Final
The BLAST Premier: Fall Final is the final stage of the BLAST Premier series, where the best CS:GO teams from around the world will compete for the championship title. The Fall Final will be held in a yet-to-be-announced location in the United States, offering fans the opportunity to witness the excitement of the tournament in person. The event is expected to attract a large audience, both online and offline, as teams battle for the coveted title and a significant portion of the prize pool.
These are just a few of the top upcoming esports tournaments in the USA, showcasing the incredible talent and dedication of players and teams across various games. As the esports landscape continues to grow and evolve, fans can look forward to even more exciting competitions and showdowns in the future.
Conclusion
Esports betting is a rapidly growing industry in the USA, with millions of dollars being exchanged each year.
The rise of online gaming and the popularity of esports have led to increased betting opportunities, making it a lucrative market for both casinos and bettors.
With the legalization of sports betting in various states and the increasing popularity of esports, the future of esports betting in the USA looks promising. However, it is essential to consult your state's specific laws and regulations to determine the legal status of esports betting.
Online casinos licensed and regulated by reputable authorities provide a secure and reliable platform for esports betting, making it an accessible and exciting way for fans to engage with their favorite games.
References
- The Professional and Amateur Sports Protection Act (PASPA)
- Esports Integrity Commission (ESIC)
- The Wire Act of 1961
- US Esport Industry Statistics