Financial losses in Esports for organizations are nothing new, but this story is more discouraging than usual.
Started a pro Valo team – DSG
They'll be playing in the VCT Challengers Open Qualifiers tmr
(i didnt have time to get an announcement video made so i drew this pic in mspaint from my hotel room) pic.twitter.com/FAOxIimDzq
— DSG Toast (@DisguisedToast) January 9, 2023
Famous streamer Disguised Toast made noise in January by announcing he was officially joining the world of Esports with a new organization: Disguised, or DSG for short. He decided delving into the world of Valorant would be the organization's first Esports endeavor. To that effect, he quickly announced the formation of a Valorant team to compete in the Valorant Champions Tour: Challengers Open Qualifiers. In late March, he announced DSG formed a female Valorant team to compete in VCT Game Changers.
But Disguised Toast's biggest Valorant win came from the shocking announcement that he managed to sign yay. After last year's season, yay was regarded by many as the single best Valorant player in the world.
After yay departed from Cloud9, the world of Valorant was clamoring to see which organization he would join. The last place anyone expected was a brand-new organization on the Challengers circuit. DSG's future in Valorant seemed to look bright.
First Year Slump
Even with the inclusion of yay, DSG's main Valorant team has been on a rough losing streak. DSG has posted underwhelming finishes in North America Split 1, North America Face Off, and North America Split 2, finishing 8th, 7th, and 12th. In Split 2, the org got off to a painful 0-3 start.
sorry to all the DSG fans for our performances recently
esports have definitely been one of the more challenging experiences i've faced in my career
ive always been pretty confident in my content but for the first time in a long while – i have been having a lot of doubts about…
— DSG Toast (@DisguisedToast) May 4, 2023
At the beginning of May, Disguised Toast would address the slow start of his Valorant team and reveal that he has been experiencing doubts about owning an Esports organization due to his lack of experience in the area. He expressed feelings of guilt about letting down both his players and the fans of DSG Esports.
And after a recent revelation, those feelings of doubt very well may increase.
-$1 Million in the first year
just got off a call with my accountant and apparently i'm gonna be spending twice as much as i expected for dsg
— DSG Toast (@DisguisedToast) May 29, 2023
Disguised Toast revealed in a recent tweet that DSG is on track to lose nearly a million dollars this year and loses five figures worth of money every month. Due to DSG's lack of sponsors and their inability to win any significant prize money so far, these costs are likely hitting Disguised Toast's pockets directly. After a talk with his accountant, Disguised Toast found out he's also spending about twice as much on DSG as he thought.
While Disguised Toast has enjoyed a healthy amount of success over the years, these kinds of financial losses don't seem particularly sustainable long-term.
Will joining LOL make things better or worse?
We are excited to announce that DSG will be participating in the upcoming NA Challenger League for LoL. pic.twitter.com/6arozCEijE
— DSG (@Disguised) May 24, 2023
Last week, Disguised Toast announced that DSG was joining the world of League of Legends to compete in the LCS.
— DSG Toast (@DisguisedToast) May 31, 2023
But with the LCS strike ongoing, the delays to the Summer Split, and the possibility of Riot canceling this year's LCS altogether, joining LoL might make things worse for DSG. And that's the last thing the organization needs. We wish DSG the best of luck.