Sportsbook supplier DATA.BET has declared the esports betting industry to be booming. The company reported revenue for the quarter doubled year-on-year, with turnover from esports gambling also up over 70%.
In a prior report, DATA.BET said growth was particularly strong in low-tier esports events, which are boosting sportsbooks’ profits.
The latest company release said that Q1 this year saw double-digit growth in profit, turnover, bet counts, and active users for betting on CS2, Dota 2, League of Legends, and Valorant.
Niche Markets Driving Profits
However, it again highlighted that other events are seeing more dramatic increases in betting. Niche disciplines collectively delivered a 245% increase in profit compared with Q1 2025, noted the company in its Q1 report.
Strong betting markets included Rocket League and Rainbow Six, driven by the addition of new markets.
“High margin efficiency has been a real catalyst this quarter,” said Bohdan Holovnov, Head of Esports at DATA.BET. “Partners have increasingly recognized that esports can deliver meaningful commercial returns, encouraging them to scale up promotional campaigns and drive more traffic into the vertical.”
“That feeds directly into more new users, higher turnover, and stronger margins. At the same time, we continue to offer the broadest match and discipline coverage on the market, and the impact is also reflected in the rapid growth of combo bets across our partner platforms.”
The company introduced new features this quarter, including allowing partners to embed betting markets directly onto mobile live streams. It noted that combo betting has grown rapidly, which is traditionally an area of high margin for sportsbooks.
Latin America Attracting Esports Bettors
Rainbow Six betting was particularly strong in Latin America, where DATA.BET said it “has solidified its position as a premium sportsbook solution supplier.”
Several countries are opening up newly regulated markets, and the region is a target for betting companies. Betsson reported strong growth in the region in its Q1 earnings, and hopes a recent partnership with Paraguayan operator JugaMax will fuel further gains.
Riot Games has experimented with new formats to engage teams in Latin America. For example, inviting teams that missed out on the Masters Santiago qualification, alongside second-tier squads from regional Challenger leagues, to compete at the Valorant EMEA Clash 2026.
The tournament filled a gap in the event schedule and led to strong new-player acquisition, with newcomers accounting for 55.4% of total bets placed.
Increased Wagering Increasing Integrity Risks
Increased wagering on low-tier events can increase the risk of match-fixing, as amateur players are tempted to manipulate their performances for betting purposes.
As markets expand, players may believe it may be easier to go undetected, but the Esports Integrity Commission (ESIC) warns that it is closely monitoring markets. The organization issued a wide range of sanctions last month.
DATA.BET has been a partner with ESIC since 2019 and alerts the organization to any suspicious betting activity.