For years, betting exchanges have been a favorite of sports bettors worldwide. However, a betting exchange is not the same as a sportsbook. Instead, think of it as a stock market for sports betting. Exchanges run on online peer-to-peer networks, which adds a whole new dimension to sports. Unfortunately, US residents do not have access to betting exchanges.
How Does a Betting Exchange Operate?
On a betting exchange, you bet against other players rather than the house. You can bet on almost all major sports, including MLB, NFL and NHL games. Deposits and withdrawals work the same way as at online sportsbooks. For example, you can deposit with Moneybookers, Neteller or a credit card.
At first, exchanges may seem confusing. Still, most bettors feel at home after a couple of bets. You can also place many variations of a bet. For instance, you can bet the over/under or try to cover a point spread.
Matched and Unmatched Bets
Once another player accepts your wager, it becomes a matched bet. A matched bet is binding, so you cannot reverse or cancel it. Unmatched bets become official once you pay for them. Other players can then match your selection or bet against it.
If nobody matches your wager before the game starts, the exchange returns your stake to your account. In addition, you can accept wagers from other players or create your own. As a result, you can often save money by placing some of your bets on an exchange.
The odds at betting exchanges are usually much better than at an average online sportsbook. That is because you can compare many odds and spreads and pick the best return on your wager.
Betting Exchange Commissions and Fees
Exchanges make money by taking a percentage from the bets you place. Usually, they charge commission on winning bets. However, many exchanges also charge a fee on the bet itself, whether you win or lose. Some even charge a fee when you match another player’s offer.
So, check these commissions before you place a bet. That way, you avoid surprises and can budget your bets properly.
Some exchanges also offer VIP memberships, mainly for frequent bettors. These memberships often come with lower commission fees or fixed rates. In some cases, they also keep you off the leaderboards, so you can bet against other players anonymously.
What Kinds of Bets Can I Make With Betting Exchanges?
Betting exchanges offer several wagers that typical online sportsbooks don’t. The two main types are:
- Back bet – the most popular option. You back an outcome at the amount the exchange lists, if you want to match that bet.
- Lay bet – you bet against a particular outcome.
What if you bet on the wrong team by mistake? In that case, the exchange lets you cancel your wager, as long as it isn’t matched yet. However, you must act fast, because wagers can get matched very quickly. Most exchanges also add a short grace period to each wager. This gives you time to react to changes in game conditions.
If your bet gets matched before you can fix it, the best move is usually to bet on the other team in that game. You can always check your status or use in-play cash bets, which is the money set aside for matched and unmatched bets. This fix will cost you more if you have funds available. Even so, you will end up on the side you originally wanted.
Can Betting Exchanges Be Used to Make Middle Bets?
Middling means betting on both sides of a game, hoping the result lands between your two bets. Bettors usually try it when they find a two- to three-point gap between the spreads for a game. This is where betting exchanges really shine.
For example, say you placed a bet with a bookie or sportsbook. You can then check the exchange to see the odds for a middle bet. On high-profile games, middle bets can pay quite well.
Why Use a Betting Exchange?
Some people call betting exchanges the poker of sports betting. That is because players face off against each other for the same prize. In other words, you bet against gamblers all over the world rather than against one sportsbook.
The biggest benefit is simple. If you do well and become a professional gambler, the exchange will never limit your bets or change your odds. Finally, because you aren’t playing against the house, you get some of the best odds and spreads online.
POPULAR:
