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Sports betting has never been so popular. A big reason for this is that it has never been easier to place bets. If you have a mobile device and an internet connection, all you need to do is open your browser or launch your app. You can then get all the sports betting action you desire. Simply make your selection, enter the stake amount, and submit the wager.
Whilst the majority of punters turn to online bookmakers for their betting needs, more and more bettors are discovering the benefits of using a betting exchange Ireland, UK or other countries have. On the surface, online sportsbooks and betting exchanges are quite similar. Besides, quite often one company can combine both a betting exchange and a pure sportsbook. However, there are a few significant differences between the two. This guide will examine both betting platforms and illustrate the things that separate traditional bookmakers from exchanges.
So, you’ve researched some given matchup and you’ve found yourself a strong play. Let’s say that it’s Manchester City to beat Crystal Palace. You go to your favourite sportsbook and see that the odds for Man City to win are 13/10. If you accept those odds and place a bet, then you are backing Man City to win.
Laying is a little different. Instead of betting on, or backing a specific outcome like Manchester City to win, you are betting on that outcome to not happen. So if we are talking about a 1X2 bet on Man City at a sportsbook, you are betting on Man City to win while the bookie is essentially wagering on a Man City loss or a draw. In other words, you are backing the bet while the bookmaker is laying.
When you understand the difference between laying and backing, you can then start to see the difference between bookmakers and betting exchanges. You may have noticed that traditional bookmakers offer a lot of one-way bets. For example, you could back England to win the World Cup at 7:1. However, you probably won’t be able to lay England. That is to say that you won’t be able to bet on England to not win the World Cup.
You must also realise that online bookmakers make their money by charging a commission on every bet they take. They achieve this by building that commission into the odds. Let’s say that you and a friend wager €10 against each other on a 50/50 proposition such as a coin toss. You end up with €20 in the pot and the winner takes it all.
Now, let’s say you wager the coin toss through a bookmaker. While you both put up the same €10, you don’t stand to earn the same €20 payout. After the bookie takes its cut of the action, the winner of the coin flip now stands to win about €19. That extra €1 is the bookie’s fee for brokering the deal.
One way to think of a betting exchange is to think of it as a place where you can become the bookmaker. Let’s go back to our above example of betting on England to win the World Cup. If you go to a bookmaker, you can only back the bet. There is no option to bet on England to not win the World Cup. However, you could go to a betting exchange and propose a wager on England to not win the World Cup. Not only would you lay the bet, but you’d also be able to come up with your own odds. All you need is another punter to accept the offer.
Like traditional bookmakers, betting exchanges have to make a buck. Instead of building a betting margin into the odds, betting exchanges simply charge a small commission. As opposed to both bettors paying the juice at an online sportsbook, only the winner pays a commission which is typically around 1%. Those savings can be quite substantial over a period of time.
One significant roadblock that successful punters encounter is being limited by the bookie. If you start winning a bunch of big bets, then a lot of bookmakers will drastically lower your betting limits or find an excuse to ban you. After all, they don’t like it when you cut into their obscene profits.
Those who bet at exchanges do not have to worry about this. Because the bookmaker has no stake beyond a small commission in the outcome of a wager between two random people, they don’t have to worry about getting hammered by a sharp bettor. They generally don’t care how much you want to lay a bet for because they aren’t exposed in the least. The only ones who are exposed are the layer and the backer. This is one of the main reasons why you can almost always find better odds at betting exchanges.
If you want to open up more betting options for yourself, then you should seriously consider signing up with a betting exchange as you can propose any type of wager and set the odds on your own. It’s just like being the bookie. The commissions are far lower and you don’t face unreasonable betting limits or banishment when you win. Also, it isn’t difficult to find someone to take your action.
On the other hand, sportsbooks are much easier to understand. Also we shouldn’t forget about betting offers, specials and promotions a bookmaker offers both to new and existing customers, and quite often this is a substantial reason to opt for a sportsbook. You can check out both reliable bookmakers and betting exchanges at Match.Center which also provides a lot of useful betting information.
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