The esports industry has seen incredible growth over the last number of years, both in terms of viewership and revenue. While at one point in time it seemed like a fairly niche pastime, it has now grown to have mainstream appeal and is enjoyed by millions across the world.
For companies in particular, this growth has proved to be a lucrative business opportunity. As viewing figures have exploded and experienced high levels of viewer engagement, numerous brands have continued to invest in esports marketing.
In terms of the revenue figures at play here, the esports industry is estimated to have hit a global revenue of around $1.1bn in 2021, which is expected to swell to $1.7bn by 2024. This is a staggering figure and gives us a sense of just how big the esports industry is!
For the many esports fans around the world, however, esports is not just a spectator sport, it is something they actively participate in. Unlike other popular sports such as football, rugby or boxing, esports games have a relatively high percentage of spectator participation.
This participation comes in many forms and includes not only actively playing the popular online games that are also played by professional esports athletes, but also includes betting on esports matches and tournaments. Esports betting has grown to be incredibly popular among esports fans in recent years and represents an exciting new area of development for the sector.
For the many fans either playing esports games or placing wagers on the latest esports tournaments, they will inevitably need some way of sending and receiving funds. There are a wide range of services on offer that support this, which includes everything from traditional payment methods such as credit cards and bank transfers, to digital wallets and cryptocurrencies.
Of these payment methods, however, which are the most popular?
E-Wallets
In addition to the traditional payment methods such as credit/debit cards and bank transfers, many esports fans have found themselves using third-party electronic wallets, also known as ‘e-wallets’, in recent years.
As the name suggests, an e-wallet is essentially a digital wallet that allows one party to make transactions with another party. It typically comes in the form of a software application — either as a mobile app or a web app — and stores payment information and passwords. Users access their digital wallet to make transactions to a designated party, without the need to use a physical credit or debit card.
E-wallets have become popular in recent years as they streamline the process of making payments online, while also offering high levels of protection. Any time you take out a physical card to enter your payment information on a website opens you up to risks. By using a third party to store this information, you decrease the chances that an unauthorized third party can access this information.
Of the many e-wallet solutions that are used by esports fans these days, PayPal is perhaps the most well-known. On sports betting sites such as WettBonus.net, it is one of the most popular payment options.
PayPal is a giant in the online payments space and is used by billions of people across the world. In countries such as Germany, it has even become the most popular online payment method next to credit and debit cards.
Cryptocurrencies
One of the fastest growing trends in the global financial services space is cryptocurrencies, and the esports sector has not proved immune to this trend!
Cryptocurrencies are every bit as fast as e-wallets and offer many of the same safety and security benefits. They are a digital asset that can circulate and be used to make payments, without the need for a central monetary authority such as a government or bank to validate them.
As they are not reliant on any one medium of exchange to work and are instead validated through the network on which the currency is built, cryptocurrencies offer many benefits. This includes faster transaction speeds, lower fees, decentralisation, increased security and potentially global acceptance.
cryptocurrencies are popularly used to make payments online and have been embraced by the online iGaming and esports industries with incredible enthusiasm.
What to look for in an esports payment method?
In terms of what makes a good payment method for esports fans, there are a number of key factors to keep in mind. This includes:
- The level of security they offer
- How simple they are to use
- The fees they charge
- How widely accepted/supported they are
- How quickly transactions can be fully processed
Regardless of whether you are playing or betting on League of Legends or Counter Strike: GO, these are the factors you should look out for the next time you want to make an esports payment online!
