Month: October 2020

The boom in online computer games continues. After the providers were able to further expand their business during the corona pandemic, the potential for further growth is huge for the coming years. And even though there is a thin line between online gaming and gambling, the bottom line is that players are entertained and at the same time earning some extra cash. Much like a few investments on regular gambling favorites like the Sattaking in India. The only difference is that players of online computer games have a better chance of winning.

How To Make Money Playing Video Games

New customer groups mean more sales potential. This is the forecast of professional business analysts for the online gaming industry. The virtual group participants experienced a significant change at this year’s Gamescom. The so-called TAM – the Total Addressable Market – is growing as a result of the higher average income of gamers.

US players grew by more than 30%

Overall, online gaming is increasingly gaining popularity among broader sections of the population and thus acceptance and self-confidence. Because of the corona lockdown, the advantages of e-sports competitions are not only known to insiders of the scene but are also used by billion-dollar industries such as Formula 1 to transfer the passion for racing into the virtual world. Share prices of companies in the sector are among the high flyers on the stock exchange this year.

The shares of the leading US players in this sector – Activision, EA Sports, and Take-Two Interactive – have each gained more than 30% in the current year. These price increases are understandable when looking at the last quarterly reports. The additional time available during the lockdown contributed to an acceleration of growth.

An example of the growth potential is the huge success of Fortnite. Thanks to the Battle Royal mode, the game has now had more than 350 million registered players worldwide (as of May 2020). With the success of Fortnite, developer Epic Games is now flexing its muscles against the giants of the US tech industry, Apple and Google. Epic is resisting the 30 percent fee for purchases made in the respective app stores and has requested a reduction in this fee. Since Fortnite is available for free and is primarily carried out through so-called in-game sales, this battle is about more than a few million. The growing support of companies like Microsoft and Spotify for Epic could mutate into a precedent and fundamentally put the 30% levy for other app stores up for discussion.

Global networking of the gaming community

New consoles such as the PS5 from Sony or the X-Box Series X from Microsoft are also expected in the second half of the year with great anticipation. These usually caused a flood of new games and deadline pressure for developers and design studios. Because the games should be available punctually at the busiest time, the Christmas business.

According to Adrian Daniel, however, investors who want to benefit from the growing trend in online gaming should consider a few points. Since there is a concentration of demand for computer games thanks to the global networking of the gaming community, the opportunity-risk profile of the development is changing. One example of this is the CD project from Poland – with the long-awaited release of the game “CyberPunk 2077” on November 19, 2020, the company is putting everything on one card. A postponement of the completion already caused higher volatility of the share in the course of the year, because otherwise, only another game with “The Witcher” dominates the company’s sales. However, if the demand for the game does not meet the high expectations,

More than 24 billion euros in sales in China

“For long-term oriented investors it makes sense to minimize the risk of the success of individual games as much as possible,” emphasizes Daniel. Here it helps either to rely on a larger number of companies, to leave the selection to an active fund manager, or to focus on business models that limit the risk in advance. This applies, for example, to development platforms with a large number of studios or recurring AAA games. In Daniel’s view, a global focus is also imperative for investments in this sector. The world’s largest market for computer games is China, with around 725 million users and, according to Statista, an estimated turnover of more than 24.5 billion euros in 2020.

“Investors also have the opportunity to rely on providers of the necessary hardware along the value chain. With Nvidia, the leading graphics chip designer, investors have already more than doubled their invested capital this year,” reports Daniel. Last but not least, a supplementary audit of the company for sustainability aspects makes sense. Companies such as Flutter Entertainment, for example, are exposed to increased regulatory risk by offering online gaming. “All in all, long-term investors have a wide range of options to benefit from the structural growth trend,” says the MainFirst fund manager.

If you want to play in an online casino, then the very first thing that you have to do is to complete the Mega888 register. Well, this is basically the least that a player can do. But for the casino operators themselves, things are far from over.

Because in order for them to operate, they need to secure their gaming license first. Even though they have a website, it will render useless without their gaming license. It is imperative to have merchant and bank accounts, work with the electronic payment system providers and of course, purchase legal gaming content. Not to mention, you will need to have license to do marketing and to grow your customer base. So long as you go by the rules, getting a license is fairly easy.

Getting Your Gaming License

The question now is, how online casinos are processing their license? First and foremost, you have to pick countries that can accommodate your possibilities and needs. It is necessary to perform research towards gambling jurisdictions, costs, requirements, application processing time and taxation policy. You may do your research as well by hiring an attorney who specializes in this subject.

Then the next thing that you have to do is to prepare the personal documents ahead of time. Make sure that you have a copy of documents like the following:

• Proof of address
• Criminal background check
• Bank reference and;
• Passport copy

At the same time, see to it that the online casino website has information needed by your chosen gambling jurisdiction. Majority of the gambling jurisdictions are checking for information on responsible gambling, terms and conditions, withdrawal policy, exclusion policy and so forth.

What is Required by Your Country?

Now here’s something that you should know, each and every country is different especially with the laws, rules and policies they have in place with regards to gambling regulation. Laws revolving around gambling are almost similar to all country laws but, they often vary from one country to the other.

For example in the UK, gambling is regulated both by non-government and government organizations. This is to make sure that people are free from frauds and scams. Then again, some countries are very stringent with their gambling laws and thus, it forces operators to turn to less regulated and cheaper jurisdictions. It is essential to take into account of getting offshore accounts if you encounter such situation.