Riot Games is making a significant change to its approach on sponsorships for its two flagship esports titles, League of Legends and Valorant. The company announced it will now allow official sports betting sponsors for its major esports tournaments, reversing a long-standing policy that kept betting-related advertising out of its broadcasts and events. Other competitive multiplayer games like Counter-Strike 2 and DotA 2 have long allowed gambling sponsorships, which made Riot’s hesitation somewhat up until now somewhat surprising. Especially since eSports as-is, is a massive money loser for game developers.
This move comes after ongoing discussions with teams and a notable uptick in betting activity around both games. According to Riot’s president of publishing and esports, John Needham, the company saw a reported $10.7 billion in global betting turnover related to League of Legends and Valorant esports last year. Despite previous restrictions, a majority of this activity was already happening, often through unregulated channels. Riot’s new stance aims to bring this activity into a more controlled environment, and potentially generate new revenue streams for the esports ecosystem.
Some of the key details about how Riot plans to implement these sponsorships include:
- All betting sponsors will go through a vetting process and must use data provided by GRID, a third-party esports data provider.
- Teams are required to establish internal integrity programs to safeguard competitive fairness.
- Sports betting ads will not run during official broadcasts, and teams cannot display sportsbook logos on their jerseys.
- Individual teams can include betting sponsors on their own channels, as long as they follow Riot’s established guidelines.
Riot emphasized a “guardrails first” approach, hoping to address concerns around integrity and player safety. However, the announcement has received a mixed response from the community. While some fans see it as an inevitable step in the commercial evolution of esports, others are worried about the increased visibility of gambling in the scene. Concerns range from the effectiveness of internal regulation to broader health and ethical issues, as highlighted by organizations like the World Health Organization.
League of Legends and Valorant are two of the most prominent competitive gaming titles worldwide, each with massive player bases and established professional circuits. Riot’s decision to allow sports betting sponsorships reflects a broader industry trend, as other major sports and esports organizations have also partnered with betting companies. The challenge now will be balancing the commercial benefits with ongoing concerns about integrity and fan welfare.
Further reading: Official announcement