Everything You Ever Wanted To Know About Skin Betting

One of the most-played video games today is Valve’s tactical shooter, Counter-Strike. It is a simple game that’s easy to learn but very hard to master - this is one of the reasons why it’s at the forefront of competitive gaming. One of the amazing things about it is that it has created an in-game economy that has ramifications in the real world, too. This is due to skins, cosmetic items with no in-game influence but with real value in the outside world.

Skins are bartered, bought and sold across the Steam Community Marketplace and at third-party sites. At the same time, they are also at the base of gaming and trading platforms, which might sound a bit scary for some. So, to shed some light on how skins work and what skin gaming implies, let’s take an in-depth look at the phenomenon.

Counter-Strike: From A Humble Mod to eSports Excellence

Valve is a project brought to life by two former Microsoft employees, Gabe Newell and Mike Harrington, on the former’s wedding day in 1996. Newell considered other names, like Hollow Box or Rhino Scar - anything but the “testosterone-gorged muscles and the 'extreme' of anything” of the times. It took the company two years to launch their first game, Half-Life - and it was worth the wait. Half-Life made history, becoming a surprise hit and shaping the world of gaming for years to come.

It All Started With Worldcraft

Valve included Worldcraft, their level design tool, and their SDK with the game, making it easy for devs and fans to add their work to the HL universe. And they did. The range of mods was impressive, from cooperative remakes like Sven Co-op to survival horror rewrites like They Hunger.

And then there was Counter-Strike, first released in June 1999, which took on a life of its own. Valve quickly acquired the rights to the brand and hired the original developers to continue working on it. The result was the first standalone release of CS hitting the shelves in 2000.

The rest, as they say, is history. After several versions in a decade or so, Valve made history by launching Counter-Strike: Global Offensive (CS: GO) in 2012.

An Alternative Economy

Originally, CS: GO was a paid game like all others. Later, in turn, Valve decided to turn it into a free-to-play game, relying on in-game cosmetic customisations - skins - to generate revenue. This was a success, especially after the release of Steamworks API that enabled the creation of third-party skin trading sites. Some of them introduced special features like the possibility to use skins in gambling-style games and to bet on eSports events.

What Are Skins And How Do I Trade Them?

Like in all first-person shooters, Counter-Strike players only see their own hands and weapons while in the game. CS: GO’s “Arms Deal” update, released in August 2013, added cosmetic weapon finishes or “skins” to the game so players could make their on-screen loadout their own.

Players could get skins from “loot boxes” - crates that could be opened with a key. The keys could be purchased through microtransactions inside the game. Players could create their own skins through the Steam Workshop - some of these can also be obtained through the in-game loot boxes, earning some revenue for the creator.

Grades, Quality, Wear, and Finish

Not all skins are created equal, though. They come in different colours, wear, and quality:

• Grade: from white (common) to red (Ancient) and sometimes Gold (Exceedingly rare)
• Finish: from solid color weapons to custom paint jobs and combinations of patina and paint
• Wear: from “factory new” to ”battle-scarred”
• Extras like StatTrak™ (a feature that counts all the kills performed with the weapon)

All of these influence the value of a skin. For example, a slate AK-47 skin that’s battle-scarred goes for as little as $3, while the same skin with StatTrak™ and no wear and tear costs around $40. The prices can go as high as a few thousand dollars or even more. For example, a “Norse Collection” AWP | Gungnir (Factory New), one of the rarest skins today, can go for as much as $11,000.

Getting and Trading Skins

There are several ways in which you can obtain Counter-Strike skins:

• Complete matches: you’ll get random drops after completing matches in Counter-Strike. These are usually low-tier skins, but they can be exclusive items for limited-time operations.
• Weapon cases: you can get cases from post-game drops and open them using a key you buy from the Steam Store. These cases can have skins of different rarity levels.
• Buying them on Steam: You can spend your Steam Wallet funds on skins at the Steam Community Market. The prices change based on supply and demand, and Steam takes a cut of each sale.
• Trading them on Steam: You can barter skins in the Marketplace

How Third-Party Skin Marketplaces and Betting Sites Work

Third-party marketplaces are websites or platforms where you can buy, sell or trade skins - and sometimes, you can use them to play games of chance or bet. They go beyond what Steam’s own Marketplace offers, sometimes with fewer restrictions, other times with lower fees. They rely on Steam’s own APIs to complete transactions.

Depending on the individual sites, the range of services can differ. Some, like TradeIt, act as a marketplace where players can barter or sell their skins and cash out - Steam’s Wallet doesn’t offer this possibility. Others, like CSGORoll, have various games where you can use your skins - or rather their value in virtual coins - as currency.

How Skin Trading Works

1. You find a trusted skin trading platform and register an account
2. You link your Steam account and list your skins to make them visible to others
3. You can choose between fixed prices or auctions
4. Another user finds your skin and decides to purchase it
5. If both you and the buyer agree, the transaction is completed, and the skin changes hands
6. Once the platform confirms that the transaction is completed, the skin is transferred to the buyer’s account

Some trading platforms use escrow to ensure the security of both the seller and the buyer.

Note that trading skins outside the game’s ecosystem may constitute a violation of the game’s TOS - this may lead to your account being banned.

How Skin Betting Works

Skin betting and gambling are in many ways similar to your run-of-the-mill skin trading.

1. You find a trusted platform and register an account
2. You link your Steam account
3. You “deposit” the skins you want to play with
4. The skin has a value in virtual coins based on the skin’s market value, rarity, and sometimes an internal coin conversion rate
5. You choose a game or an event. This can be anything from a high-profile eSports match or a simple game of Crash or Dice
6. Once the betting event concludes, the bet is settled, and the winnings are paid out
7. You can use the coins to trade skins or to play more games
8. Alternatively, you can buy coins for cash or crypto, depending on the platform you use.

Common Games

Some platforms offer a service similar to sports betting, where skins are used as currency. In most cases, the events you can bet on are eSports matches. These work a lot like traditional betting sites. Other platforms offer players games of chance similar to those at online casinos and/or various PVP games.

The types of RNG-powered single-player skin gambling games include:

• Roll or Roulette: You have the option to bet on Red, Black, BaitBet (red and green tiles with a fish icon on them) and Green. The colours can change from one platform to another. Each outcome has its payout, from 2x to 14x.
• Dice: A simple number-betting game. You decide on a range of numbers to bet on, from 1 to 100, or a multiplier. These two depend on each other - the higher the multiplier, the smaller the range. When you “roll the dice”, the outcome is decided by a random number generator. If you’re successful, the payout will be your bet times the multiplier.
• Crash: A simple crash game with a soaring multiplier and control in the player’s hand
• Plinko: An oldie, with a ball released from the top navigating through a field of pegs to decide the winnings
• Case jackpot: a jackpot pool that anyone can add skins to, to be won by one lucky winner
• PvP games like Coin Flip, Dice Duel, and Case Battle, where players can face each other off.

Some platforms have their exclusive titles, like Cluck ‘n’ Boom, a basic “minesweeper”-type game with prizes, built by Ancient Gaming for CSGORoll.

Gambling or Not?

What I described above sounds an awful lot like gambling, something the platforms wouldn’t like to seem. This is why they take precautions not to cross into gambling territory. For one, they routinely restrict real-world trading (RWT) or exchanging skins for real-life currency. Players caught doing it are banned on most platforms.

This doesn’t mean, in turn, that they are not taking their services seriously. Reputable platforms will go to great lengths to keep players away from inappropriate activities, including strict KYC checks.

Since it doesn’t qualify as gambling, skin gambling platforms don’t have licenses. But, as a reputable site points out, a cheap license like one issued by a Curacao sublicensor doesn’t protect players from fraud. Transparent operation, provably fair gaming, and the integrity of the gaming platform do.

The Ethics of Skin Gambling

Skin gambling is a controversial subject.

On the one hand, at least in theory, it doesn’t involve any real money, so it doesn’t qualify as real gambling. On the other hand, the skins do have a value in real-life currency. Plus, it is associated with Counter-Strike, a video game popular with young audiences - the majority of players are in their late teens or early twenties, some of them even younger.

Critics of skin gambling are constantly pointing out that it’s a form of gambling aimed at minors. And let’s be honest, some platforms are just that.

Others, in turn, do their best to make sure only adults get to use their services, as intended. As CSGORoll points out in its FAQ, although it doesn’t qualify as real-money gambling, skin gaming is still addictive. This is why they have strict KYC verifications: to filter their player base.

Scams are another issue, especially on third-party skin trading sites, ranging from phishing to collecting Steam login credentials and “middleman” scams. To avoid these, always choose platforms that are provably fair and have implemented escrow. And, of course, do your homework - read reviews and look for real user feedback on trusted review sites.

Ready To Play?

Counter-Strike has been part of the gaming culture for more than two decades. From a humble Half-Life mod, it has grown into a defining eSports title. On top of that, it has created perhaps the most successful in-game economy with real-world ramifications. Skin trading and gambling are markets grown on top of that - and they are here to stay.

As usual, regulations can’t keep up with online services. This means that in the world of skin trading and betting, “ caveat emptor ” applies. Most major platforms are transparent, fair, and honest - but there are bad apples, too. So, be careful where you trade your skins. Stick to reputable sites, and play responsibly.