For its 3-2 victory over a team backed by phone-maker Samsung, SKT's five members shared a prize of $2m (Â£1.64m) between them.
The win is the third time in four years that SKT has taken the title. It also won the title in 2015.
The final ran for six hours and was held in front of almost 20,000 LoL fans at the Staples Center in Los Angeles.
SKT's Lee Sang-hyeok, aka Faker, was named as the most valuable player of the tournament.
The total prize pot for the tournament was $5m with $750,000 going to second place team Samsung. The money available to teams taking part was increased by fan contributions.
Writing on the Rock, Paper Shotgun gaming news site, Philippa Warr said the final had been "breathtaking", as the Samsung team had fought back from losing the first two games.
However, she said, everything had changed in the "beautiful" third game, which lasted 70 minutes and saw Samsung wrest a keenly contested win from SKT.
Samsung then took the fourth game more easily to set up the decider.
In the event, Warr said, SKT's "fluidity" and experience had won through, giving them the title, cash and Summoner's Cup trophy.
League of Legends is a massively popular game involving two teams of five players fighting over a small map
Each player controls a hero outfitted with a variety of attacks or defence abilities, and the winner is the first to destroy their opponent's base.
According to statistics from Riot Games, which created LoL, about 100 million people play the game every month.

Berahino, 21, was travelling at 110mph when he was stopped by Cheshire Police near junction 20 of the southbound M6 in the early hours of 22 October.
He was found to have 101 mg of alcohol per 100 ml of blood - the drink-drive limit is 80 mg.
North Cheshire Magistrates in Runcorn fined Berahino Â£3,400 and offered him a drink-driver referral course.
If he completed the course, it would reduce the length of his ban to nine months.
The striker's excellent form this season earned him a call-up to the full England squad in November but he did not play in matches against Slovenia and Scotland.
His court case, originally scheduled for 19 January - the same day as the Baggies are due to meet Everton in the Premier League at Goodison Park - was brought forward late on Thursday.
The BBC understands that Berahino will be fined by West Brom under its usual disciplinary procedures - the maximum permitted being a fortnight's wages.
With the case having been dealt with before the scheduled Monday hearing, he is now likely to play that night at Everton.
West Brom will not be making any comment on the matter.
Berahino, who came to the UK from war-torn Burundi as a child, signed a new three-and-a-half-year contract with the Premier League club in December 2013.
The England Under-21 international has scored 14 times in 25 appearances for the Baggies this season, and has been linked with a big-money transfer to a top Premier League club.
South Korean team SKT Telecom T1 has won the 2016 world championships of the League of Legends (LoL) video game.
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West Brom striker Saido Berahino has been banned from driving for 12 months after pleading guilty to drink-driving.