The reasons behind famous streamers & Gamers partnering with Gambling sites

Gaming and gambling have become intertwined. Although their growth was originally separate, in parallel, they share a similar demographic. But perhaps the biggest reason for the two often partnering together is because of streamers who can rack up lots of views by playing poker, Fortnite, Roulette, or trading CS:GO skins. 

Then there are crypto casinos, which are even more efficient and profitable. Because of this, they can afford to spend lots on acquiring customers and they’re willing to pay a premium for eSports sponsorships. 

For esports organizations, it’s difficult to stay profitable, not least because performance is volatile and competitive. Player salaries have risen, as have travel costs. The rise of gambling firms becoming sponsors has been timely, with high mutual benefit due to the sharing of customer bases.

A good example of this was when Heroic announced a major sponsorship deal with Razed.com. The organization framed the partnership around shared values of "entertainment and responsibility". It may be true, but it’s also true that it was a lucrative deal, and by going into business with a high-growth crypto betting platform, Heroic secures more funding to help maintain its top-tier Counter-Strike 2 roster during a market downturn. 

These deals like, Razed partnerships, often include jersey branding, exclusive social media content, and more. Considering that you can bet on such eSports competitions on Razed, it’s a symbiotic relationship and another revenue stream for Razed beyond just brand awareness.

Organizations often tread carefully with PR-friendly announcements. But individual streamers have embraced gambling sponsorships with far less inhibition. The German streamer Scurrows serves as a good example. After clashing with Twitch over its stricter gambling regulations, Scurrows moved his content to Kick, a platform with looser restrictions and a lot of ties to the crypto gambling industry.

For those like Scurrows, there’s a lot of money involved. It’s not just the standard sponsorship fees, but many streamers earn affiliate revenue which is a percentage of the money their viewers lose on the site. Scurrows has therefore monetized a "villain arc" persona, where controversy and anti-cancel culture rhetoric have made him millions. It shows that even when there is moderation (like Twitch) it can be overcome.

From gambling operators, the gaming community is a perfect demographic match. Gamers are digitally native, comfortable with virtual currencies, often young men, and often accustomed to RNG mechanics regarding loot boxes and skin trading.

Razed is a popular Crypto Casino that has capitalized on this, not just with their sponsor, but by combining traditional casino games with eSports betting and provably fair crypto games. The platform has instant crypto withdrawals and minimal KYC friction, making it a digitally-native utopia for those who are privacy/agency conscious. 

The trend raises difficult questions for the industry and where it's heading. Organizations normalize betting partnerships, but they risk alienating younger fans and inviting stricter government regulation. Of course, a CSGO partnership (which has a millennial-heavy player base) is different to targeting Fortnite or Roblox (which has many underage players).

As long as the eSports Winter continues to freeze out traditional revenue sources, the marriage will continue. And whatever your views on gambling, this is only a good thing for the existence of eSports.