Valorant and League of Legends Announce Controversial…

Valorant and League of Legends are embracing gambling sponsorships, Riot Games has announced. The controversial change, which Riot says stems from years of deliberation, reflects concerns over the long-term sustainability of the Valorant and League of Legends esports scenes.

The global esports market had a $2 billion valuation in 2023, with a recent Research and Markets study estimating it will grow to $5.5 billion by 2029. Despite reaching unprecedented heights, some prominent stakeholders maintain that esports remains a "terrible" business that's only good for burning money. In the post-pandemic years, this growing sentiment contributed to a global sponsorship pullback, leaving many teams and esports scenes scrambling to make do.

Five Years Later, Valorant Has Risen to the Top of ESports

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By Megan Lorich

In an apparent attempt to address some of these sustainability concerns, Riot Games is now allowing betting sponsorships across its two flagship titles, Valorant and League of Legends, with some limitations. The shift was announced by Riot President of Publishing & Esports John Needham in a lengthy article mentioning "sustainability," "revenue," and "financial health" over half a dozen times.

Why (and Where) Is Riot Allowing Esports Betting Sponsorships?

Needham acknowledged that sports betting and gambling in general are controversial topics that some fans feel strongly about. "However, the reality is that betting activity already exists around our sports and will continue whether we engage with it or not," the executive wrote. To that end, Riot is opening a betting sponsorship category for Tier 1 Valorant and League of Legends teams in North America, South America, and the EMEA region—Europe, the Middle East, and Africa.

Key Goals of Riot’s Sports Betting Partnership Program

Open new sponsorship opportunities for partner teams, helping them generate additional revenue and improve financial sustainability.
Establish clear regulations, monitoring standards, and educational initiatives to safeguard the integrity of esports.
Enhance Riot’s ability to detect and address betting-related policy violations, reinforcing competitive fairness across all events.

The move will allow eligible teams to seek sponsorships from vetted gambling companies. All prospective partners must undergo Riot's approval process, use data supplied by its official data partner GRID for their betting services (which is meant to combat unlicensed betting), and comply with internal team integrity programs that guard against underage exposure to gambling, match-fixing, and other risks. Riot plans to use a portion of the revenue generated from the new Tier 1 sponsorship category to support Tier 2 competitions. This includes expanding prize pools, investing in integrity systems, and enhancing training programs that foster up-and-coming talent.

The reality is that betting activity already exists around our sports and will continue whether we engage with it or not.

All of Riot's official esports streams will remain free of gambling sponsorships, the company said. There are currently no plans to expand the newly opened sponsorship category to Asia and Australia. Professional League of Legends and Valorant teams have been asking Riot to consider allowing gambling sponsorships for years now, Needham said, adding that the company's long deliberations reflect its desire and efforts to do so "responsibly." While this may very well be the case, growing concerns about esports' sustainability likely influenced the timing of the decision.