Esports club G2 Esports successfully avoided financial losses in 2024 for the first time in several years, a turnaround primarily attributed to a strategic investment in cryptocurrency. The organization`s recent financial report shed light on how they managed to achieve profitability during what was a challenging period for the broader esports industry.
From 2021 through 2023, G2 Esports consistently operated at a loss, amounting to nearly €2 million annually. However, late in 2023, the club decided to purchase Solana (SOL) cryptocurrency tokens, investing €3.2 million. The value of SOL experienced a significant rise in early 2024, leading the owners of G2 Esports to sell their holdings. This move proved highly profitable, generating over €16 million from the sale. Consequently, the club reported a total operating profit exceeding €9 million for this period, marking a new financial record for the organization.
G2 Esports maintains nine competitive rosters across six distinct esports disciplines, including popular titles such as League of Legends (LoL), Counter-Strike 2 (CS2), and Valorant. The traditional core revenue streams for the company include advertising agreements with sponsors, prize winnings from tournaments, payments received for participating in franchised leagues, and sales of team merchandise.
Finley Holt