Exactly 20 years ago I was both a competitive CS player and I also liked reverse engineering so I was somewhat interested in the cheating community and even programmed a custom injector and cheat for CS (it was surprisingly easy if you knew a bit about Windows APIs).

Cheats were a problem. Not even a nascent problem, but already established. Bad enough that VAC was released in 2002, Punkbuster in 2000...

In competitive gaming you cannot just find a stable friends group to play against: you need competition, and a diverse one. We somewhat palliated this by physically playing in LAN, but that still limits to a radius around you and it's cumbersome when you can just find an opponent online (we had manual matchmaking on IRC before modern matchmaking existed).

The problem is that cheating can be very subtle if done correctly. The difference between "that guy is better that me" and "that guy can see through walls" is pretty much undetectable through non-technical means if the cheater is not an idiot. This poisons the competitive scene.

Competitive gaming is huge. It was big back in the day but now it's a monster. Just check the largest categories on Twitch: LoL, TFT, WoW, CS, Valorant...