Battlegrounds Mobile India (BGMI) pro Tanmay “sc0ut” Singh has revealed some interesting information about how esports tournaments and organizers work. The S8UL content creator, who started out as a PUBG Mobile player, knows the country’s esports ecosystem well.
During one of her recent live streams, Scout told her viewers about the “dark side” of esports tournaments. He said:
“Let me tell you about the dark side of tournaments. Very few are reliable. Secondly, imagine you are ‘XYZ’, okay? You are considering hosting a tournament with a prize pool of ₹10 lakh. You have no money in your Bank account”.
He continued:
“Tell me, you’ve still got everyone together and given your word. Now, when it comes to giving away the prize pool, XYZ goes from one owner to another, borrowing a certain amount of money they need and promising to come back later. Then you borrow money from those sources and give it here, and then you pay it back as well.”
BGMI pro Scout reveals how esports event organizers earn money from brands during various tournaments
After stating that many event organizers don’t give away prize money out of their own pockets and instead take loans from others, Scout explained how they make a profit from tournaments.
He revealed that event organizers often make a lot of money from the brands they attract by advertising the popular teams participating in their tournaments.
The BGMI star explained:
“You will think that you are lost (after lending the prize money). Not so. Now, such organizers give money separately to each team to participate in their tournaments. Understand. They pay money while inviting organizations to play. “
added:
“You know what happens then. Imagine a tournament with a prize fund of ₹10 lakh, and then the organizer lends ₹10 lakh, which he then pays. But on top of all this, the money they take from the brands under the pretext of teams like SouL (S8UL), GodL, this one and that one are participating, that payout is quite high.”
For those unaware, unofficial esports tournaments were on the rise after BGMI cemented its position as the fan-favorite mobile game among the Indian masses.
However, the game is currently banned and Krafton has ordered event organizers not to host unofficial tournaments. The company has also asked them not to broadcast scrims or matches.