Esports: Winning the game of foreign exchange
The esports industry is one that is growing rapidly and as the number of professional gamers and audiences sizes both increase, more and more businesses are sitting up and taking notice.
This has particularly been the case throughout Covid19 as many professional sports competitions have faced cancellation or postponement, many leagues and organisations have taken to competing online, as an alternative way to keep fans entertained and engaged.
Despite esports competitions being held in many different countries and the vast majority of prize money is paid out in US Dollars despite teams being made up of players from all over the world. This means as more investment comes in, foreign exchange rates and international transactions are becoming a far more important aspect of the industry as a whole.
For many professional gamers, what started off as their hobby, has now escalated into a way they can make their income, bringing with it the complexities of payments, particularly in an industry reliant on international payments. Many professional teams and players leave any international transactions they may have to their bank, whether that be paying competition entry fees or exchanging prize money into different currencies.
For example a Currency UK customer who is an esports player won a prize pot of $400,000. However, he is based in the UK and does not have a US Dollar bank account and is therefore paid their winnings into their UK based Sterling account and will face a charge from their bank when receiving that money and charged again as the dollars are exchanged into pounds. Alternatively, the winner could use an FX broker such as Currency//UK to manage the currency exchange of their prize money and reduce the costs.
Currency//UK is able to give the customer a more competitive exchange rate due to smaller overheads and won’t charge a fee for receiving the funds in a different currency. That means the winner, by using Currency//UK instead of their bank, can ultimately keep more of their prize money.