eSports.com AG Files for Insolvency: Another ICO Fail

Submitted by C Costigan on

Written by :

C Costigan

Published on :

eSports.com AG Files for Insolvency: Another ICO Fail

eSports.com AG, a German content website and cryptocurrency effort, has filed for insolvency.


START YOUR OWN SPORTSBOOK - 6 MONTH FREE TRIAL

This was hardly a minor venture.  Last year the company sponsored Counter-Strike: Global Offensive team Astralis for $2 million over a three year period.

eSports.com AG, however, was only started in 2017.

It also got mired in a cyryptocurrency initial coin offering or ICO for its Esports Reward Token (ERT), which could be used to purchase planned coaching lessons and training videos from its website, as well as bet on matches.  The betting component was later dropped.  The company claims it raised $5.8 million for the ICO.

eSports Observer also noted the following discrepancy found with the ICO:

Additionally, the ICO funding site initially claimed that the $20M hard cap was reached at the end of the campaign, but the final total was later confirmed to be $5.8M; eSports.com blamed a display issue for the incorrect sum.

eSports.com AG had also forged a partnership wtih ProSiebenSat.1, a sports business unit of a German media firm.

ProSiebenSat.1 issued this statement regarding the eSports.com AG insolvency:

“The insolvency concerns eSports.com AG. ProSiebenSat.1 has no direct business relationship with eSports.com AG. The joint venture operated jointly by eSports.com AG and ProSiebenSat.1 Sports GmbH (eSports.com GSA GmbH) is not directly affected by the insolvency. Our goal is to continue operating the eSports.com platform in German-speaking countries as before.

“As we are not part of the insolvency proceedings, ProSiebenSat.1 cannot make any statements on this matter.

“The insolvency of eSports.com AG has no impact on the eSports strategy and activities of the ProSiebenSat.1 Group.”

 

Related Content

Trending Prediction Markets: Fed Decision in September Hike 25bps 85 Percent Chance

Trending Prediction Markets: Fed Decision in September Hike 25bps 85 Percent Chance

The FOMC will meet for its September session after holding the target range at 3.50% to 3.75% in July, according to CNBC. The prediction markets have an 80% chance of an increase.
Pennsylvania Gambler Sues FanDuel: Says He Was Bombarded With Late Night Alerts After Losses

Pennsylvania Gambler Sues FanDuel: Says He Was Bombarded With Late Night Alerts After Losses

Maurice Faulk filed his civil suit accusing FanDuel of using data-driven promotions and repeated prompts to keep him betting at times he says he was least able to resist.
Stake.com Shuts Down Website in Ireland

Stake.com Shuts Down Website in Ireland

The company, which bills itself as the “world’s largest”, was forced to take the drastic action following an intervention by the Gambling Regulatory Authority of Ireland (GRAI). Stake.com is no longer available to those in Ireland as a result.
Williston, North Dakota Sun Country Flights to Las Vegas Resume Following Allegiant Acquisition

Williston, North Dakota Sun Country Flights to Las Vegas Resume Following Allegiant Acquisition

Sun Country announced it is keeping its Williston, North Dakota (XWA)–Las Vegas (LAS) nonstop for the 2026 season, despite the uncertainty earlier this year surrounding Allegiant's planned acquisition of Sun Country.