Canadian streamer Cody “Xposed” Burnett (24) has made a name for himself with sports betting and gambling on the Twitch streaming platform. On August 6, he wagered $450,000 on the outcome of a Call of Duty: Vanguard league match between Optic Texas and the Los Angeles Thieves – and lost the bet. But because it’s backed by betting site Stake, the loss isn’t as big as it seems. This shows the problem with the lack of transparency of gambling streamers on Twitch.
Who is the streamer?
Gambling is a big topic on Twitch, one of the first big streamers on Twitch, “Phantomlord”, was doomed:
Twitch: Who were the first successful streamers?
That was the bet now: On August 6th, the streamer released a screenshot of online casino Stake, which is making the headlines right now.
According to the screenshot, he had wagered $450,000 on Team Optic Texas beating the Los Angeles Thieves. They played each other in Winners Round 2 at Championship Weekend Day 2, a Call of Duty League match.
At odds of 1:1.77, Xposed would have netted nearly $800,000 had he won the bet. One of the big stars of Call of Duty, “Scump”, plays at Optic Texas.
But the bet went completely against him: Optic Texas lost the match 0-3 and the $450,000 was gone.
Streamer explains that the casino pays him very well for the promotion
How much did he really lose? Discussing the big bet loss, the streamer opened up about how much of the $450,000 bet actually went to his account.
To the objection that he was already addicted, Xposed replied, being a real business person:
Relax, I get paid very well by Stake. I used stream money here. Instead of having a good stream and creating content tonight, I tried to double my money by completing the bet.
30% of that was my own money, so I lost about $135,000. It still hurts, but it’s okay.
The sums that the casino pays for advertising are apparently huge.
Streamer gives rare glimpse of how much casino pays him for advertising
This is behind it: The news is interesting because streamers are usually silent about how much support they get from betting sites. It has always been assumed that betting sites like Stake are the big streamers
But precise details of what these agreements look like are rare.
Just over the weekend, Bloomberg reported that streamers are making millions of dollars a month advertising betting sites like Stake. However, none of the streamers involved wanted to reveal exact figures.
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As revealed by Xposed’s testimony, 70% of his bet appeared to be covered by the website stake, so he was taking relatively little risk himself.
In fact, the streamer himself is excellently compensated by Stake for advertising.
However, the question then arises:
If Stake bears 70% of his loss, what percentage would Stake receive of any gain? Ultimately, the bet from Xposed looks like a non-transparent advertising post:
The problem with these bets is that the streamers bet a lot of money, but their losses are partially recovered by the casinos. Spectators who emulate them and also bet lose the entire sum.
Twitch Streamers Make Millions From Gambling Deals – Your Viewers Go Bankrupt