Esports betting has become one of the fastest-growing gambling areas in the USA. As video gaming and sports betting come together, it creates a new space attracting a younger and more varied crowd. This rise in popularity didn’t happen all at once; it’s been developing steadily over the years, fueled by technological improvements, more people watching esports, and changes in laws that make betting easier.

The Rise of Esports Betting

The esports betting industry started gaining traction in the United States after the 2018 Supreme Court ruling that allowed states to legalize sports betting. This decision spurred a wave of online gambling regulation, opening doors for esports betting operators as the best sportsbooks started covering esports tournaments. However, its true expansion accelerated during the COVID-19 pandemic, when traditional sports came to a halt, and bettors turned their attention to esports.

Online platforms such as Twitch saw a spike in viewership, while events like the virtual F1 race featuring professional drivers became popular alternatives to live sports. These moments showcased the viability of esports as a betting market, marking a turning point for its growth in the US.

Similarities to Traditional Sports Betting

Esports betting shares numerous similarities with traditional sports betting, making it accessible to those familiar with sports wagering. Much like placing a bet on an NFL or NBA game, bettors can wager on various outcomes in esports, such as match winners, tournament champions, and even in-play bets on specific game events.

The mechanics of moneyline bets, point spreads, and over/under options are nearly identical. However, esports adds unique opportunities, such as wagering on the first team to destroy an objective in League of Legends or the number of kills in a round of Counter-Strike: Global Offensive.

While the overall betting structure may seem familiar, esports betting does appeal to a different audience, typically younger and more tech-savvy. The average esports viewer is around 26 years old, significantly younger than traditional sports audiences. It presents a lucrative market for operators already capitalizing on the younger generation’s comfort with digital ecosystems and online wagering platforms​.

The Growth Potential

Esports has huge growth potential in USA. Competitive gaming has seen a surge in popularity, with major titles like League of Legends, Dota 2, and Valorant boasting enormous global fanbases. These games have become the backbone of esports, drawing viewers in numbers that rival traditional sports events. The increased viewership naturally translates into heightened interest in esports betting, with fans eager to place wagers on their favorite players and teams during high-profile tournaments​.

Technological advancements that make following and betting on esports more seamless than ever are supporting this surge in betting activity. Mobile betting apps, improved streaming platforms, and live in-play betting have significantly boosted the appeal of esports wagering. Bettors can now place bets in real time as they watch matches unfold, mirroring the traditional sports betting experience while introducing new layers of interactivity.

Beyond just participating in gaming, a massive portion of American households are also deeply engaged with gaming culture. An impressive 69% of U.S. households contain at least one video game player, and 41 million households actively use gaming consoles each month.

The engagement extends beyond gameplay, as many are now consuming gaming-related content as viewers. From December 2019 to December 2022, time spent watching gaming videos on desktop alone surged by 183%, according to Comscore, reflecting a growing trend in gaming as a form of entertainment beyond personal participation.

Livestreaming is particularly popular among younger audiences. A survey of Americans aged 18 to 65 showed that 77% had watched livestreamed gaming at least once, with 89% of Gen Z and 81% of Millennials being the primary viewers. This younger, tech-savvy demographic represents a critical market for esports betting, as they are more likely to engage with gaming content and online betting​.

While still trailing behind Asia and Europe, the U.S. esports betting market is expected to grow at an annual rate of over 14%, reaching a projected market value of $1.1 billion by 2028. Major players like DraftKings and Bet365 are already investing heavily to capture a share of this growing industry

Conclusion

Esports betting in the USA is no longer a niche market. It has grown into a significant sector within the gambling industry, attracting interest from both established sportsbooks and new operators. Its potential lies in its appeal to a younger, digitally native audience, its similarity to traditional sports betting, and its capacity to adapt to emerging technologies. While challenges remain—particularly in terms of regulation and market liquidity—the long-term outlook for esports betting in the USA is undeniably bright.