Dota 2 is a completely free-to-play game, with all the MOBA's heroes available to new players from day one. Valve makes money by selling different in-game cosmetics, announcers, HUDs, etc. When major tournaments roll around, the house that GabeN built also puts out time-limited "Battle Passes" that add challenges, co-operative game types, fantasy leagues and other things that encourage your participation in exchange for special effects and the latest hero skins. That's how it's worked in the past, but this year Valve is trying a more consistent approach to monetization with the new Dota Plus subscription.
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