UK-based esports betting platform Midnite has secured $2.5 million in the form of strategic investment led by gaming-focused venture firm Makers Fund. London VC firm Venrex Investment Management along with “founders and executives” from leading gaming companies also participated in the round.
Nick Wright, one of the co-founders of the firm talking to TechCrunch said that “The esports market is seeing rapid year-on-year growth and we believe that betting represents the single biggest opportunity in this space. Wagering on esports is expected to exceed $12 billion by the end of 2020, making betting already one of the fastest-growing verticals within esports.”
On the current phase of work on Midnite, Wright says, “We have been in an Alpha for half a year now and are already seeing significant turnover. We are building everything in-house and are keen to offer the best experience for esports fans in the market. Customers have been loving the platform and we, in turn, are fine-tuning the product specifically for them. Every day, our waitlist for access keeps growing and we are extremely pleased with the way the product been received so far.”
Commenting on how esports is different than other games, Wright feels, “This is conducive to a variety of live betting opportunities that you can seldom find in real sports. Users can bet on your standard match winners and losers, but they can also bet on unique selections such as next kill or next objective achieved while matches are in-play.”
The firm has acquired a betting license in the U.K and it will soon be launching for everyone as the current access is an invite-only beta.