The Esports World Cup is set to distribute over $75 million in prizes, with the League of Legends segment alone offering $2 million to the participating teams.
On July 16, Gen.G Esports secured their playoff position by defeating Sentinels, who now face a critical match against Karmine Corp. This tournament, running in Paris from July 6 to August 23, marks the first edition held outside Saudi Arabia.
In a significant shift, France's new regulations now allow licensed cryptocurrency firms to sponsor esports teams, in line with the EU's Markets in Crypto-Assets (MiCA) regulation. This is the first time such sponsorships are permitted, providing a clearer framework for crypto companies to engage in esports.
The EWC Club Partner Program, valued at $20 million annually, offers each of the 40 participating clubs up to $1 million. Historically, the program has distributed over $100 million, becoming a major financial source in the esports industry.
While the connection between crypto and esports isn't new, regulatory clarity presents a fresh opportunity for sponsors and teams alike. The situation is markedly different from the chaotic sponsorship landscape during the 2021 bull run, where many partnerships were short-lived or fell apart. With MiCA in place, licensed crypto firms present a safer investment option for esports organizations, which had become cautious following high-profile failures like FTX.
As Gen.G advances, Sentinels must first focus on their next match, highlighting the competitive nature of this year’s tournament.
This article is for informational purposes only and does not constitute financial advice.
