Sports Betting Guide
Betting Exchange (aka Peer-To-Peer betting) is probably the most revolutionary gambling concepts of all time. In few words, betting exchange facilitates linking up between punters who want to make offers to each other. Thus, in essence, it allow punters to act as bookmakers. This form of betting is especially popular in Europe, Asia and Australia. Most popular sports betting exchanges: Betfair, Betdaq.
What it is a betting exchange?
The betting exchange is a platform that allows us not only to place bets at the traditional bookmakers, but also to market such matches in order to increase the profit. The "match trading" has nothing to do with the corruption, it is solely forecasting of the chances of the sporting event, which is often referred to as a sports or bookmaker trade.
The main difference between the betting exchange and the classic bookmaker betting is that you do not compete with the online bookmakers, with a more or less organised group of people - odds makers – we only compete with punters from around the world. Having a good knowledge of the sport we have a great chance to win and use the mistakes of the weaker colleagues.
The history of the betting exchange
The origin of the betting exchanges dates back to the beginning of the twenty-first century. In May 2000 the first website designed and based on the "peer-to-peer" principle, which is a duel between the punters who have equal opportunities, was created in the UK. Of course we mean the website Flutter.com, which attracted a lot of new punters and took control of the market after several months. Then the "new player" - British Betfair- appeared. After a short battle both directors of the brands have come to the conclusion that a merger would be the best solution for the increase in the profit. Judging from the future, the merger hit the mark because Betfair has received the status of the hegemon at the betting exchange market. The success of Betfair was noticed very quickly, and the revolutionary idea has found many followers. We can single out two other betting exchanges among them - WBX and Betdaq, but they are less popular among the punters than Betfair. It seems that the future of the e-gaming industry, when it comes to sports betting, belongs to the betting exchanges.
The advantages of the betting exchanges
1 Betting exchange offers high odds unlike the online bookmakers.
This is due to the fact that the odds are set by the punters, not the bookmakers. Moreover, there are no limits or the so-called betting margin.
2 The duel against the punters from around the world and the possibility to offer own odds
If we believe that the odds are low we can offer higher odds, and if the other punter agrees to a new value, he or she takes a bet with the new odds. This way, we have the "one on one" fight where Betfair acts as the mediator.
3 At the betting exchange we compete not with the bookmakers but with other punters
Our chances of winning and earning money are higher because our opponent will not be a team of odds makers working for the bookmaker, who theoretically have more knowledge, but only one person whose ability and knowledge is limited.
4 The most important rule of the betting exchange - "no punishment for the success"
Internet bookmakers often eliminate professional, experienced punters who regularly win by setting limits on the winnings or the maximum bets. Betfair does not have such "procedures"
Betfair - model of succes for betting exchange
Betfair is the UK-based largest betting exchange in the world processing £5 million transactions every day. Already more than 10 years in the business, the exchange now serves punters in more than 80 countries. It is growing faster than any other bookmaker: 36 customers in 2000, 1 million customers in 2007, 2 million customers in 2008, 4 million customers (1.1 million active customers) in 2014. As of 2014, Betfair accounts for ca. 90% of the betting-exchange market.
- Number of betting markets and betting options. Apart from the popular disciplines such as football, horse and greyhound racing or handball, you can find Gaelic Games, Futsal, Fishing, Netball and more. As a matter of fact, almost every sport imaginable
- "More transactions than all the European stock markets put together" (according to Betfair's chief executive)
- Sophisticated Live betting. Punters can bet right up to the final whistle. In case of traditional bookmakers, live betting is suspended ten minutes before the end of the match.
- The very best security and data encryption methods.
- Betting exchanges give the punter better value for money. Better odds are usually available because the online punters set the margins. Without having to cover bookmakers’ overheads, they can offer more competitive prices.Live sports events coverage including football (Italian Serie A, UEFA Cup, International Friendlies, Portuguese Superliga and more), horse racing (UK, Ireland), tennis (ATP and WTA tournaments, including all Masters Series event), darts, rugby, snooker, basketball and other disciplines as well.
- Many trading opportunities. Prices change all the time since punters enter thousands of bets into the system at the same time.
- Betting exchanges, such as Betfair and Betdaq, permit punters to bet with each other online. The system has grown to the point where millions of pounds are being matched on horse races every day. The exchanges also offer great diversity, with punts ranging from who will be the next leader of the Conservatives to how many wickets Shane Warne will take during the Ashes series.
- Highly successful forum, where thousands punters share their tips and comments on each other’s bets.
Backing and laying
Exchange betting is all about backing and laying. These two concepts can be somewhat tricky for novice punters, so we have decided to explain them in a few words. Any market offered on a betting exchange, whether it is Betfair, or BetDAQ can be either backed or layed. Backing means predicting that a given event will happen. For instance, in a football match you can say that THERE WILL BE home win, draw or away win. Backing, which is simply the same thing as the traditional 1X2 betting, is by far the most popular betting option at exchanges. Laying is the opposite of backing. When you lay an outcome, you're saying that it will not happen. Laying a HomeWin is effectively backing draw and home win. The odds on exchanges are dynamic which means they are changing as you look at them, all the time right till the event gets under way. Odds reflect which outcomes are popular, and where punters' money go to. You may decide to change the odds for your bet, but then you risk having your bet unmatched.