Allied Esports Entertainment Inc. (AESE)’s subsidiary Allied Esports has paved the way for legal esports betting in New Jersey. The company has created the first opportunity for legal esports betting through its VIE.gg CS:GO (Counter-Strike: Global Offensive) Legend Series tournament. Tournament by the global esports entertainment company will run through September 13.
The New Jersey Economic Development Authority (NJEDA) and the New Jersey Division of Gaming Enforcement (DGE) announced the go-ahead for legal esports betting in the state. Gaud-Hammer Gaming Group, a New Jersey-based gaming and esports agency, facilitated the process.
In a previous announcement Allied Esports disclosed an agreement with GRID Esports for licensing of data and video rights of the tournament. GRID Esports is a major provider of esports data. The collaboration will make it possible to distribute live-server data to sportsbooks and other online vendors participating in the betting. That will allow real time engagement of bettors with the event in the Garden State.
In July 2020, regulated consumer betting contributed $315.1 million to New Jersey’s sportsbooks, according to figures released by the NJDGE. It was up 91% over the previous month’s total and was also 25.4% more than that in July 2019. Sports betting revenue in the month increased by 65.2% from last year’s revenue to reach $29.6 million.
Betting of $4.55 billion occurred at New Jersey sportbooks in 2019 which was the first full calendar year of legal sport betting in the state. Out of that, about $3.8 billion was wagered online. Those generated gross revenue of $299 million for the state with $36.7 million in tax revenues.
16 teams from different regions of the world will compete online in the VIE.gg CS:GO Legend Series for a total price money of €50,000 ($59,000). The regions include several EU member countries, South America and the Commonwealth of Independent States (CIS).