CS:GO Lounge Handled Over $1 Billion Worth of Bets in 2016
CS:GO Lounge, one of the most popular skin gambling sites, shut down earlier this year after the bursting of the Counter-Strike skin gambling bubble. A new report by Will Green of LegalSports reveals that the site had handled more than $1 billion worth of bets in 2016 before closing its skin betting operation in August.
The Statistics Behind the Skin Betting Operation
Around 103 million skins were bet on approximately 2,800 matches throughout the year. On average, each skin was worth almost $10, and there were around 37,000 virtual items bet per match. Some games, like the Team Liquid versus SK Gaming match at ESL One Cologne this Summer, attracted over 320,000 skins and saw bets worth more than $1 million per game.
Changes Made to CS:GO Lounge
CS:GO Lounge made significant changes earlier this year due to Valve’s statement against skin gambling and the terms of service changes that prohibited the use of trade bots.
The Shift to Coin Betting
CS:GO Lounge has shifted its business model to “coin betting” after the demise of skin gambling. New users are given 100 coins upon creating an account, but there are no clear methods for earning more coins. The option to earn coins is currently greyed out on the menu, and it is unclear whether it will require trading skins or actual money.
Skin gambling was a highly profitable business that caught the attention of Valve, known for their lack of communication with fans. Many sites took cuts of the bets, leading to scandals involving streamers and personalities like TmarTn and Phantomlord, who were found to have undeclared ownership of gambling sites. Several lawsuits are currently pending from customers who believe they were allowed to bet unlawfully.