In 2013, Valve unknowingly set the stage for a viral gambling empire when they introduced weapon skins to Counter-Strike: Global Offensive (CS:GO) through the Arms Deal update. They were meant to just be cosmetic, but these virtual items quickly became the bane of the game.

But as the demand for these skins grew, so did the dark side of their value. Third-party gambling sites rose from the demand for trading, selling, and buying skins. It eventually turned cosmetics into the backbone of a notorious skin gambling industry.

The Role Counter-Strike: Global Offensive Played In The Creation of The Betting Empire

Back in 2013 when skins were first introduced in CS: GO, they were very innocent at first as they were just cosmetics. They didn’t impact gameplay in any way and let players personalize their weapons with unique patterns and colors. But while some skins were common, others were rare, making them highly coveted by players.

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As you’d expect from any kind of rarity system with skins, this transformed them into a new form of currency. At first, they were traded on the Steam Marketplace, where players could buy, sell, or exchange them like collectible items other games also had. But this unknowingly laid the groundwork for a future gambling economy.

It wasn’t long before third-party websites saw the potential of skin trading beyond simple give and take. By 2015, these sites allowed users to gamble their skins on the outcome of professional CS matches. With no regulation, these platforms operated in a legal gray area.

CS-GO skins, are they actually bought and sold for upward of $150,000?
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By 2016, skin gambling had exploded into a global phenomenon. The popularity of esports fueled this surge, as fans would wager skins on their favorite teams. Valve had unknowingly made the biggest gambling industry in gaming.

The Industry is Very Much Alive After All This Time

Valve’s reluctance to immediately act on these third-party sites allowed the skin gambling empire to grow. After all, players weren’t the only ones profiting from the skins. As skin trading and betting grew, so did the number of websites offering these services. Between 2016 and 2017, skin gambling became a fully global market.

It was driven largely by the growth of esports and how big CS: GO was in that space. Skins were no longer just cosmetic items but were treated as valuable commodities, with rare skins fetching hundreds or even thousands of dollars in value.

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Valve attempted to rein in the skin gambling industry. In 2016, the company issued cease-and-desist letters to third-party websites, forbidding them from accepting skin bets. They also implemented stricter rules to curb gambling within their platform.

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The industry continued to thrive, albeit more covertly. Some websites shut down, but many others went underground, finding ways to dodge the restrictions. The cat-and-mouse game between the company and gambling platforms remains ongoing.

Today, skin gambling is still a thing, just with tighter regulations. The devs continue to crack down on illegal skin betting, but the demand for it remains. Despite the controversies, many players still participate in these markets, and third-party platforms have found ways to adapt to the times.

Have you ever played any Counter-Strike games? What are your thoughts regarding this skin empire? Let us know in the comments!