Hopefully someone on here can help settle an ongoing debate I've been having with a colleague. We've been discussing different techniques which could be used to entice players of our games to continue playing. At some point the idea of "Awarding" the top X players every month was suggested. A simple example would be "The top 10 players each receive $100".
To me this idea seems like it fits the definition of gambling
play games of chance for money; bet. which would be illegal in my jurisdiction (unless you were a sanctioned body).
My colleague however insists that it is not gambling because the game requires a level of skill and that the payout would be based on the level of accomplishment that player had achieved. They go on to compare the scenario to when prize money is awarded at e-sports competitions.
I can understand how my colleague could come to this conclusion, but to me it still seems at best a grey area where the law would be concerned (if not full blown black area)
Obviously neither of us posses any real experience dealing with legal issues such as these, so we have pretty much come to a stale mate.
Can anyone here help shed some light onto this topic. Would the situation I have described be considered gambling?