MGT Studios, the social casino subsidiary of investment firm MGT Capital, has launched its real-money skill gaming site MGT Play through a joint venture with German operator M2P Entertainment.
The new site offers a range of games allowing players to bet and win cash prizes through head-to-head games and multiplayer tournaments in a range of casual game genres. Users can compete in card, sports, puzzle, arcade and strategy games, playing for fun or cash.
It allows players around the world to compete against one another, with M2P’s German-facing skill games site paying out more than $10m in annual winnings.
“With the launch of MGTplay.com, we are now in a position to fully monetize our subsidiary MGT Studios with the first of two ventures,” MGT Studios general manager Jeremy Avin commented. “MGT Play presents the top games in a sleek design offering users competitive and quality choices in online gaming entertainment.”
The company highlighted the opportunity presented by skill gaming, noting that while online gambling is only legal in three US states, online skill-based products can be played in 33 states.
The industry generated revenue of $2.5bn in 2013, with this figure projected to rise to $9bn by 2017.
“Research shows that 8% of the U.S. population currently plays skill based games for money online, and that figure stands to grow with the emerging mobile market,” Avin added. “By partnering with an established company, M2P Entertainment GmbH, MGT has a strong foothold in this fledgling industry.”
MGT Studios was formed through the investment arm’s acquisition of the trademarked virtual card dealing system Real Deal Poker in September 2013, and the purchase of social casino studio Avcom Inc in November of the same year.
The business has since expanded its operations by moving into fantasy sports through the $0.6m purchase of DraftDay from CardRunners Gaming in April this year.