How To Buy Esports Stock?

You may be wondering how to buy esports stock, and if it is a good investment. Here is a quick guide on how to get started.

Introduction

With the popularity of esports and professional gaming on the rise, many investors are wondering how they can get in on the action. While there are a number of ways to invest in esports, one of the most direct ways is to buy esports stocks.

This guide will provide an overview of what you need to know about buying esports stocks, including a look at some of the top publicly-traded companies in the industry.

What Are Esports Stocks?

Esports stocks are shares of publicly-traded companies that are involved in the business of esports in some way. This can include companies that make video games, host esports events, or manufacture gaming hardware, among other things.

There are a handful of publicly-traded companies involved in esports, but the majority are based in Asia. Some of the top companies in the industry include Tencent (OTC: TCEHY), Nexon (OTC: NEXOF), and Alibaba (NYSE: BABA).

How To Buy Esports Stocks

If you’re interested in buying esports stocks, there are a few different ways to do it. The easiest way is to buy shares of a publicly-traded company on a major stock exchange like the New York Stock Exchange (NYSE) or Nasdaq.

Another option is to buy shares of an exchange-traded fund (ETF) that tracks the performance of a group of companies involved in esports. One popular ETF is the Global X Video Games & Esports ETF (NASDAQ: HERO), which invests in a mix of video game developers, publishers, and hardware makers around the world.

Finally, some brokerages offer private investments in esports startups through their venture capital arms. However, these investments are typically only available to accredited investors with high net worths.

What is Esports?

Esports is a form of competitive sports using video games. The industry has seen a growth in popularity in recent years, with tournaments being held all over the world. Some of the most popular games in esports include League of Legends, Counter-Strike: Global Offensive, and Dota 2. If you’re interested in investing in esports, read on to find out how.

The Popularity of Esports

The idea of people playing video games professionally is not a new one. In the early days of gaming, there were already tournaments being held for games like “Space Invaders” and “Pac Man.” However, it was not until the late 1990s and early 2000s that esports began to take shape as a more organized industry. The term “esports” is short for “electronic sports,” and refers to competitive video gaming.

Today, esports is a global phenomenon with millions of fans around the world. There are professional leagues and tournaments for popular games like “League of Legends,” “Counter-Strike: Global Offensive,” and “Fortnite.” The best players in the world can earn millions of dollars in prize money, sponsorships, and salaries from professional teams.

The popularity of esports has been growing rapidly in recent years. According to a report from Newzoo, the global esports economy is expected to reach $1.1 billion by 2020. This growth is being driven by a combination of factors, including the increasing popularity of streaming services like Twitch, the rise of mobile gaming, and the growing interest from traditional sports organizations.

The Business of Esports

The business of esports is still very young, and it is constantly evolving. As with any new industry, there are a lot of unknowns, and it can be difficult to predict where things are going. Nevertheless, the esports industry is growing rapidly, and there are a lot of opportunities for investment.

There are a few different ways to invest in esports. The most direct way is to invest in an esports team or organization. This can be done through traditional means such as buying shares in a team or organization, or through more speculative means such as investing in the team’s tokens.

Another way to invest in esports is to invest in the companies that support the industry. This includes companies that make gaming hardware and software, companies that stream esports content, and companies that organize and host esports events.

Finally, you can also invest in the people who play esports. This includes investing in individual gamers, investing in teams of gamers, or investing in gaming companies that specialize in training and developing professional gamers.

How to Buy Esports Stock

There are a few different ways to buy esports stock. You can buy it through an online broker, you can buy it through a traditional broker, or you can buy it through an investment fund. Each method has its own set of pros and cons. Let’s take a look at each method.

Traditional Sports Teams Invest in Esports

In recent years, traditional sports teams have begun to invest in esports. For example, the NBA’s Philadelphia 76ers owns two professional esports teams: Dignitas and Clutch Gaming. And the Golden State Warriors co-own an esports organization called Warriors Gaming Squad.

Other traditional sports teams that have invested in esports include the Manchester City Football Club, Paris Saint-Germain, Bayern Munich, AS Roma, and Schalke 04.

These investments make sense for traditional sports teams. Esports and traditional sports share a lot of commonalities. Both require strategic thinking, teamwork, quick reflexes, and mental and physical toughness. Many of the top esports athletes are also avid traditional sports fans.

The traditional sports world has also begun to invest in esports infrastructure. For example, NBA Commissioner Adam Silver has said that the NBA is interested in partnering with game publishers to create an official NBA esports league. And the International Olympic Committee has recognized esports as a sport and is considering adding it to future Olympic Games.

There are a few ways for investors to get exposure to the growing world of esports. One way is to invest in companies that own professional esports teams. Another way is to invest in companies that are involved in the development or operation of esports tournaments or leagues. And finally, investors can also purchase shares of publicly traded companies that are indirectly involved in the esports industry, such as game publishers or gaming hardware companies.

Game Developers Create Their Own Esports Leagues

While most public companies in the esports industry are focused on running tournaments and creating content, some game developers are creating their own leagues to promote their games.

Riot Games, the developer of the popular online game League of Legends, operates its own professional esports league called the League of Legends Championship Series (LCS). The LCS is one of the most popular esports leagues in the world, with millions of viewers tuning in to watch matches every week.

Other game developers have followed suit and created their own leagues for their games. Blizzard Entertainment, the developer of Overwatch and Hearthstone, operates the Overwatch League (OWL) and Hearthstone Championship Tour (HCT), respectively. These leagues give players opportunities to compete for prize money and earn a living playing video games.

Publicly Traded Esports Companies

Publicly traded esports companies are those that have their stock publicly traded on a stock exchange. These companies have gone through the process of listing their company on a stock exchange, which allows investors to buy and sell shares of the company. Esports stocks are still a relatively new investment, but there are already a few companies that have gone public. These companies are involved in various aspects of the esports industry, from games and events to streaming and betting.

The most well-known publicly traded esports company is probably Riot Games, the developer of League of Legends. Riot Games was acquired by Chinese tech giant Tencent in 2015 for $230 million, valuating the company at $1.6 billion. Tencent then took Riot Games public on the Hong Kong Stock Exchange in 2018, raising $1.4 billion. That makes Riot Games one of the most valuable esports companies in the world, with a valuation of over $20 billion.

Other publicly traded esports companies include:
-ESI Group (EPA:ESI), a French software company that develops 3D design software for various industries including architecture and gaming;
-Garena Online (OTCMKTS:GGNTF), a Singaporean game developer and publisher that owns several popular games including Free Fire and League of Legends;
-Huya Inc. (NYSE:HUYA), a Chinese live streaming platform similar to Twitch;
-Ubisoft Entertainment (EPA:UBIP), a French game developer and publisher best known for games like Rainbow Six Siege and Assassin’s Creed;
-Electronic Arts (NASDAQ:EA), an American game developer and publisher best known for games like FIFA and Madden;
-Activision Blizzard (NASDAQ:ATVI), an American game developer and publisher best known for games like Overwatch and Call of Duty;
Bethesda Softworks, an American game developer and publisher best known for games like The Elder Scrolls and Fallout; Take-Two Interactive (NASDAQ:TTWO), an American game developer

Conclusion

Now that we’ve looked at what esports is, its history, and some of the major players in the industry, it’s time to answer the question on everybody’s mind: how can I make money off this?

The simplest way to make money from esports is to invest in the industry itself. Just like you can buy stock in Apple or Google, you can buy stock in companies that are involved in esports. And just like any other investment, there’s a risk involved – but there’s also the potential for a big payoff.

If you’re not interested in buying stock, there are other ways to make money from esports. You could start your own esports team or organization, stream games on Twitch or YouTube, or create content about esports. Or you could become a professional gamer yourself.

Of course, all of these options come with their own risks and rewards. But if you’re passionate about gaming and want to be involved in the burgeoning world of esports, there are plenty of opportunities out there for you to make some money.