Esports Entertainment Group receives green light for betting operations in New Jersey
With offices in Hoboken, New Jersey, Esports Entertainment Group (EEG) is the first esports operator in the state to receive betting approval from the Division of Gaming Enforcement (DGE).
The approval placed EEG in the first group of esports operators that received a transaction waiver.
The EGG wrote on its Twitter to announce the approval, “Starting off Monday with a bang! We’ve been granted approval to begin betting operations in the state of New Jersey, becoming the first esports operator to receive a transactional waiver in the Garden State.”
According to Grant Johnson, the CEO of EEG, the company is the first gaming firm to receive approval from the Division of Gaming Enforcement in North America.
Johnson also added that the top demographic that gamers are most likely to turn to is 18-35. This group is also why many companies are planning on entering the esports market.
“They participate more in esports gaming than they do watching traditional sports. Because of this demographic, there has been huge interest in companies such as ours that want to offer gambling for that group,” said the CEO.
Due to the fast-growing global sports betting industry, expecting to reach $205 billion by 2027, Johnson noted that EEG is excited to be a part of this industry. “Thrilled to be playing such an important role in this fast-growing market with the launch of our first esports wagering offering in the United States,” Johnson stated.
Regulations, ‘soft play’ period
The company will implement a soft play period for its VIE.gg platform for the next couple of days. It will restrict certain features and activities that are not allowed during the regular play period. Esports fans and bettors can place bets on teams playing various popular games, such as League of Legends, Counter-Strike: Global Offensive, DOTA 2, and Call of Duty. More titles will be added as time goes on.
EEG will only allow up to 200 registrations during the soft play period per day. The number of people allowed to bet will also be limited.
The company’s platform features a seamless and immersive gaming experience. With the growing popularity of esports in New Jersey, EEG is expected to establish itself in the state.
Johnson noted that a company’s senior managers must submit various details such as tax records, social security numbers, undergo a background check, and be fingerprinted to operate in the online gaming industry.
A land-based operator must also enter into a commercial relationship with EEG. In this case, EGG partnered up with Bally’s Atlantic City Hotel & Casino. Then, EGG must undergo a software stress test by the DGE and Bally’s Atlantic City Hotel & Casino.
New Jersey was the first to enter the esports betting market. Johnson noted that it has been a long process for the company to get here, but they are glad to be starting. “It’s been a long process – about 14 months since we started – but we are thrilled to be playing such an important role … with the launch of our first wagering offering,” said Johnson.