When Did Esports Betting Start? A Look at Its History and Evolution

Esports betting has grown from niche communities to a massive industry worth billions. But when did it actually start, and how did it evolve into what we see today?

The Birth of Esports Betting – Where It All Started

The first official esports betting market launched in February 2010 when Pinnacle became the first bookmaker to offer regulated esports odds. They started with StarCraft 2, marking the beginning of real-money betting on competitive gaming. But before sportsbooks and regulated markets, esports betting existed in other forms, just not as we know it today.

Skin Betting – The Wild West of Esports Gambling

Before legal sportsbooks entered the scene, skin betting dominated esports gambling. This form of betting became popular with Counter-Strike: Global Offensive, where players used in-game weapon skins as currency to place bets. Some of these skins were worth thousands of dollars, making skin betting an industry of its own. While it created a thriving underground market, it also led to major concerns about match-fixing, underage gambling, and the complete lack of regulation.

By 2015, skin betting had reached a point where it could no longer be ignored. Valve, the publisher of CS:GO, started cracking down on skin gambling sites in 2016, forcing the industry to move toward more structured and legal forms of esports betting.

The Growth of Esports Betting – From Niche to Mainstream

As esports gained mainstream popularity, major sportsbooks began offering betting markets for top-tier games like CS:GO, League of Legends, and Dota 2. What started as simple match-winner bets expanded into live betting, prop bets, and fantasy esports. More traditional bookmakers, including Bet365 and William Hill, saw the potential and began integrating esports odds into their platforms.

The turning point came in 2020 when the COVID-19 pandemic shut down traditional sports. With live sports events canceled worldwide, esports tournaments continued online, leading to a surge in esports betting. The UK, for example, saw its Gross Gambling Yield from esports betting skyrocket from £50,000 in March 2019 to £4.62 million in April 2020.

Regulation and Integrity – Cleaning Up the Industry

As the industry grew, so did concerns around fairness, match-fixing, and underage gambling. The repeal of the Professional and Amateur Sports Protection Act in 2018 allowed U.S. states to legalize both sports and esports betting, paving the way for a more regulated market. Organizations like the Esports Integrity Commission took on the challenge of addressing issues like match-fixing, illegal betting rings, and cheating.

Where Esports Betting Stands Today

Today, esports betting is bigger than ever and continues to grow. It follows a structure similar to traditional sports betting, with live betting, in-depth player performance bets, and massive tournament markets. While challenges remain, including regulatory differences across regions, the future of esports betting looks strong as competitive gaming continues to expand.

Although regulated esports betting officially began in 2010, fans have been wagering on their favorite games for much longer. With the industry showing no signs of slowing down, the question remains: will esports betting ever surpass traditional sports betting?