Riot Games to Allow LoL and VALORANT Sportsbook Sponsorships

In March 2023, Turkish esports news outlet Esporkolik claimed that the developer and publisher of “the most player-focused games in the world,” Riot Games, could give the green light to sponsorship deals between VALORANT teams and gambling companies. 

Sparking a lot of interest in the media, the rumor was refuted by the West Los Angeles-headquartered company launched in 2006. 

Riot Games then explained they would hold on to their “current policy for the time being while remaining open to new opportunities.”

Fast forward to January 2025, in a landmark move for the industry, the video game supplier and championship organizer has announced it will enable eSports teams to sign sponsorship agreements with sportsbooks.

LoL and VALORANT, First on the List

Riot Games will allow League of Legends and VALORANT teams to partner with betting sponsors starting in 2025, as revealed by esports commentator MonteCristo. 

League of Legends is the most-watched eSports game in the world, hitting a whopping record 6.9 million viewers at the 2024 World Championship Grand Final. 

The decision could also usher in a new era of opportunities for esports teams under Riot’s banner while aligning with broader trends in esports and traditional sports, where betting partnerships have become crucial financial pillars. 

In titles like Counter-Strike: Global Offensive, sponsorships have become a primary source of revenue.

Exercising Cautiousness: Restrictions on Sponsorships

Riot is carefully implementing this policy. According to MonteCristo, betting sponsors must obtain Riot’s approval before partnering with teams. 

Riot will assess potential betting partners based on its integrity, transparency, and fan engagement principles. 

Sportsbooks will also be asked to fully comply with all licensing and regulatory requests.

Even more, team jerseys will not display any sportsbook signs. 

This decision further expresses the company’s desire to boost revenue without exacerbating concerns regarding the promotion of gambling.

Critics Fear Match Fixing 

As expected, mixed reactions were quick to rise. 

On the one hand, supporters consider these sponsorships mandatory steps needed to address the constantly rising costs and financial pressure that esports teams have been facing in recent years, with an emphasis on dropped viewership rates for some games. 

At the opposite end, critics are voicing their concerns regarding the potential impact of gambling on younger audiences as well as the risk of match-fixing scandals.

Some of them have labeled the decision as unethical, arguing it would exacerbate current concerns. 

One of them is connected to the introduction of “gacha skins,” which players can acquire for random rewards using in-game currency – a measure that has sparked a lot of backlash among fans. 

Some commentators are now calling for stricter measures, including banning teams from any involvement with betting and mandating participation in educational programs.

“Riot’s decision is pragmatic given the economic pressures on esports, but the restrictions on branding show they’re still wary of community backlash,” as explained by an industry analyst.

Potential Unified Rules in the Future 

Riot’s move could establish a new standard for other publishers of popular video games and possibly lead the way to more unified rules regarding sponsorships in the industry. 

It also raises speculation about whether Riot might pursue direct partnerships with betting platforms in the future, much like its venture into cryptocurrency sponsorships. Riot Games’ announcement comes after Stake‘s October agreement to sponsor the English broadcast of GRID and Eden Esports’ Champion of Champions Tour.