All about 1xBet in esport (or almost)
Already pinned by several observers of the sports world because of numerous controversies, 1xBet nevertheless continues to charm and invite itself as a sponsor to many organizations. A trend that has accelerated lately, with the signature of important esports clubs such as OG, MiBR, TSM or Team Spirit, even though the operator was declared bankrupt a short time ago, for not having returned the funds of some customers.
Initially a simple online betting site launched in 2007, the operator has managed to make a name for itself in the betting market over the last five years, sponsoring some of the most prestigious soccer clubs in the world such as Chelsea, Liverpool and FC Barcelona. An image that will be tarnished quickly with the arrival of many controversies, leading to bans on practice in several European countries* in 2019.
It was a year before, from 2018 that 1xBet started to take an interest in esports by signing mainly clubs of CIS origin like Gambit Esports, Hellraisers, PRO100 and Cascade Esports. A strategy that focused at that time around the founders’ home region and allowed 1xCorp — 1xBet’s parent company — not to lose ground to its competitors who had already started to invade players’ shirts all over the world. These sponsors, which are often decried when we know the addiction that can result from it, are nevertheless inseparable from the sport and esport. Indeed, these operators often bring in more money than the endemic sponsors, due to their great popularity and high returns, making them unavoidable for a project seeking to develop. According to the annual report by SportRadar, an organization that provides technology for gambling sites, bettors will have put nearly 46 billion euros on the table in 2021 alone for esports.
It is in 2019 that everything accelerates for the Russian company with a certification with the UK Gambling Commission, which allowed them to operate for a time in the United Kingdom and to register as a sponsor for Chelsea, Tottenham and Liverpool. A short-lived joy that ended with an investigation by the Sunday Times that revealed betting on matches played by children, the promotion of illegal websites in the UK, betting on cockfights and the promotion of a “pornhub casino”. The three English clubs have obviously closed their partnerships with the operator following these accusations and 1xBet will be banned from operating on the island.
Problems that will not prevent 1XCorp from continuing its expansion by signing new deals in 2020 across Europe with FC Barcelona, Serie A (the Italian soccer championship), Olympique Lyonnais, even going so far as to recover the African Football Confederation. Alongside traditional sports, 1xBet has continued its strategy in esports by signing CIS clubs like Natus Vincere (for one year in 2020) and k23 (ex- Syman Gaming), a Kazakh organization. The contract is still ongoing at the time of writing this article for the latter.
It is precisely in this region that the worries continue for 1xBet. Not having finally a license to operate there, the site will be banned from Russia, yet the country of origin of the alleged founders. Indeed, an investigation conducted by the Investigative Committee of the Russian Federation found the three people at the head of the project. They were finally found guilty of having generated 63 billion rubles (about 1 billion euros at the current rate) of illegal income on Russian territory. The trio fled their country and hid in Cyprus, having regained Cypriot nationality. International arrest warrants are still pending for these individuals.
The hold of betting sites has obviously increased between 2018 and 2022, and it is now even rare not to see such sponsors during competitions. The only exception is game publisher Riot Games, which prohibits its partner teams from being linked to such sites. Most of these deals are very often focused on other “Tier 1” games such as Counter-Strike and Dota2, two titles published by Valve. From 2021, the operator’s strategy will become more international with the signing of a deal with ESL, the biggest tournament organizer in the world, to sponsor its Pro Tour circuit on CSGO and Dota as an Official Global Betting Partner. A practice already pointed out at the time, especially following an investigation released on the Youtube channel of theScore esports. A bad publicity that did not prevent ESL to extend the agreement for one year, in the most total discretion, as explained by Luis Mira for Dexerto**.
ESL is not the first partner to be criticized, especially after the deal with the US Air Force and its takeover by the Saudi Arabia’s Public Investment Fund.
In the same year, 1xBet will announce to accompany We Play for the inaugural season of WePlay Ultimate Fighting League. This collaboration will be heavily criticized by the fighting game community and this drama will cause NetherRealm and Bandai Namco, the developers of Mortal Kombat and Tekken, to withdraw from the competition. The operator will be added as the main sponsor for Yangon Galacticos in November 2021, one of the biggest organizations in Myanmar, which is present on Dota 2, Mobile Legends and PUBGM.**
Now we come to May 6, 2022, when 1xBet is finally declared bankrupt in Curacao, following unpaid bills, after an action launched by the Foundation for Representation of Victims of Online Gaming to recover about 875,000 euros of winnings that are due to bettors. The race should have ended here for them, without them having the opportunity to sign new contracts, but despite having filed for bankruptcy, it seems that the operator’s activities continue more than ever. Indeed, the small Caribbean island is one of the great places in the world of online betting, allowing companies to acquire a license that allows them to operate throughout the world. Reported by Josimar in May 2022, this rather crazy story is still going on at the time of writing. Curaçao eGaming, which provided the authorizations to 1xCorp, still hasn’t recorded their suspensions, despite the fact that the bankruptcy is well and truly recorded. A very complicated situation, which might not even stop the operator according to Mr. Arend de Winter, the lawyer in charge of liquidating the company and who is at the origin of the request to stop the license of 1xBet. Still for the Danish media Josimar, he expresses his dismay:
“I think they are buying time. The bankruptcy only applies to Curaçao. I think that they don’t care. They will go about their business and get a license somewhere else and I cannot do anything.”
And this is where the real problem exists, in addition to the previous dramas. If it turns out that the betting site really does lose its license, other users who deposited money may never get it back, just like those who started this lawsuit. A situation that would put the new partners of 1xBet in a probably delicate situation.
The beginning of 2022 will see the arrival of new deals for 1xBet with the Brazilian club MiBR, a firm of Immortals Gaming Club, and with Avangar, a second Kazakh club. These two brands are mostly focused on Counter-Strike where they have been in the top for years. Then it will be the turn of Team Spirit, winner of the last The International on Dota 2, OG Esports, historical club of this same game, and Windingo, an Argentinian team specialized on CSGO, to add the operator to the list of their partners during the month of May (just after the bankruptcy). TSM FTX, the most valuable esport organization, according to Forbes, also sign a deal with them for its Indian branch at the same moment **.
In a recent press release, 1xBet also explained the addition of a partnership with Tundra Esports, a rising club on Valve’s MOBA, although no public announcement has been made yet.
For at least two of these clubs, MiBR and OG, the deal was led by a company called SportFive, which connects sports and esports clubs with brands that want to sponsor projects.
In March, the operator will also have paid for a naming contract with the CBCS, the Brazilian Counter-Strike Circuit, for three years. This duration is also reflected in the contracts established with Tundra and MiBR, while the OG contract is signed for one year, with the possibility of extension afterwards.
HLTV.org, one of CSGO’s key media players, is included in this list of 1xBet partners. Present on its site via the Betting tab under each match, it turns out that the operator is also the main partner of its famous World Ranking. We will also note the presence of 22bet and 1xstavka, two subsidiaries of 1xCorp, in the list of betting sites highlighted by the site.
In a slightly different field, a debate can also be launched around Stake.com, a very popular platform among Twitch casino streamers. Indeed, in its article about 1xBet, the media The Sports Integrity Initiative questions the connections that can be made between the two entities. Whether it is via the address visible on the English version that belongs to one of the founders of 1xBet, or the way of operating which is identical.
OG Esports, Tundra, Avangar, k23, Team Spirit, MiBR and HLTV were contacted for comment on this publication, but did not respond.
*1xBet is unavailable in about 15 countries according to Wikipedia: Russia, UK, USA, Spain, France, Italy, Switzerland, Portugal, Burkina Faso, Israel, Cyprus, Czech Republic, Poland, Netherlands, Belgium.
** Sentences added after publication
All the sources used for this article :
Ghost chasing: 1xBet, sport’s elusive gambling sponsor | The Sports Integrity Initiative : https://www.sportsintegrityinitiative.com/ghost-chasing-1xbet-sports-elusive-gambling-sponsor/
1xBet on Wikepedia : https://en.wikipedia.org/wiki/1xBet
UK names suspects in creation of banned bookmaker 1xBet | RBC.ru : https://www-rbc-ru.translate.goog/technology_and_media/11/08/2020/5f3277fc9a794734c48b2fb6?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en
Russian Court Sentences 1xBet Operator to Three Years in Prison | Gambling News : https://www.gamblingnews.com/news/russian-court-sentences-1xbet-operator-to-three-years-in-prison/
1xBet to take esports betting to new heights in 2021 | casino-review : https://www.casino-review.co/1xbet-esports-betting-new-heights-2021/
Gambling, Africa’s new child plague | The Times : https://www.thetimes.co.uk/article/gambling-africas-new-child-plague-b5xvlct2n
Premier League clubs accused over links with betting firm | The Times : https://www.thetimes.co.uk/article/premier-league-clubs-accused-over-links-with-betting-firm-sdvw0nwfp
1XBet. A story about a russian bookmaker who received a license in Ukraine during the war | Info Napalm : https://informnapalm.org/en/1xbet-russian-bookmaker-who-received-a-license-in-ukraine/
Ball Street | Josimar : http://josimarfootball.com/ball-street/
Esports Betting — Overview of the esports gambling vertical | Legal Sports Report : https://www.legalsportsreport.com/esports-betting/
1xBet: Dominating esports sponsorship | Asia Gaming Brief : https://agbrief.com/news/elsewhere/25/07/2022/1xbet-dominating-esports-sponsorship/
Why ESL must get rid of the US Air Force sponsor | Dexerto : https://www.dexerto.com/esports/richard-lewis-why-esl-must-get-rid-of-the-us-air-force-sponsor-1812557/
ESL tight-lipped on controversial 1xBet partnership as deal is extended | Dexerto : https://www.dexerto.com/esports/esl-tight-lipped-on-controversial-1xbet-partnership-as-deal-is-extended-1918950/
ESL and WePlay respond to criticism of their partnerships with controversial sponsor 1xbet | Esports News UK : https://esports-news.co.uk/2021/04/21/weplay-esl-respond-to-criticism-1xbet-sponsor-partnerships/
The Criminals Invading Esports — 1XBET and the ESL | Upper Echelon Gamers : https://www.youtube.com/watch?v=t9O0Eyq5yoA
Recent announcements:
https://fb.watch/fe4l-vtAt6/ — Yangon Galacticos — November 26, 2021
https://www.newsanyway.com/2022/01/14/biggest-esports-team-in-brazil-announces-deal-with-sponsor-of-fc-barcelona-lyon-la-liga-and-esl/ — MiBR — mid January 2022
https://www.instagram.com/p/CZbxZw0Mci-/ — Avangar — February 1, 2022
https://www.instagram.com/p/CaXCWNFPz1i/— Team Lilgun — February 24, 2022
https://twitter.com/TeamRenewalMNG/status/1497075221274054657 — Team Renewal— February 25, 2022
https://www.sportsbusinessjournal.com/Daily/Global/2022/03/22/Brazilian-esports.aspx?hl=1xbet&sc=0 — CBCS — March 22, 2022
https://twitter.com/MESA_HQ/status/1514906660162228226 — Mongolian Esport Assiociation— April 15, 2022
https://www.youtube.com/watch?v=AB1yn4oHWM8 — Team Spirit — May 9, 2022
https://ogs.gg/og-x-1xbet/ — OG — May 16, 2022
https://twitter.com/WINDINGOgg/status/1530291904667176960 — Windingo — May 27, 2022
https://www.instagram.com/p/CeiulGzohaG/ — TSM India — June 7, 2022
https://focusgn.com/1xbet-sponsors-esports-organisation-tundra-esports — Tundra Esports — August 10, 2022
https://twitter.com/EPULZEgaming/status/1559553335434563584 — EPULZE — August 16, 2022