What is Betting Exchange all about? December 8, 2022 – Posted in: Articles – Tags: , , ,

Placing bets through a bookmaker is a common practice with punters around the world. The reason is that most bookmakers offer competitive odds across major sports platforms combined with a wide range of live bets. Meanwhile, there is also a betting exchange that allows players to compete against each other on the outcome of a particular sport or related event. We look at the concept of betting exchange along with its uses and benefits, and how it compares to online or offline bookmakers.

Betting Exchange history

For those unfamiliar, Betting Exchange was first introduced by Matchbook, flutter.com and Betfair in the early 2000s. Then in 2001, Flutter and Betfair merged with the latter being chosen as their primary betting exchange, before Flutter shut shop the following year.

This has led to websites such as Orbit Exchange and Bet Football, both of which have been growing tremendously in such a short span of time. Orbit Exchange is powered by Betfair, one of the leading companies in the betting exchange market.

A Betting Exchange is a marketplace that allows customers to bet on the outcome of certain events. Here, gamblers can buy (also known as ‘back’) and sell (also known as ‘lay’) the outcome of a match or event, while trading in real-time to cut losses or make a profit. Bookmakers generate revenue by offering less efficient odds, whereas with betting exchanges, revenue is generated by charging a small commission on bets that have been won by the bettor.

Betting Exchange advantages

Many players bet through Betting Exchange sites online such as Orbit Exchange, Bet Football, Betfair, or Indibet, due to the competitive markets and odds that are offered. Online Betting Exchange sites offer reasonable odds which mean that with longshot bets, the odds are better at exchanges. A minimum commission will need to be paid to the Betting Exchange site in the event that you win a bet.

Punters can also lay bets through Betting Exchange sites, allowing them the opportunity to bet on an outcome of a match or event that is unlikely to occur. This feature gives gamblers the chance to act as bookies and increase winnings from other wagers losing bets. In translation, bettors stand to win more money.

Unlike standard online betting websites, Betting Exchange sites do not penalise or ban a bettor if they have been winning continuously. With bookmakers, they are aware of your ability to find possible loopholes that could exist when bets are placed, which results in the said bookmaker constantly running at a loss while the punter continues to win. Betting Exchange sites do not place bans or disqualify successful bettors as they also make money while the gambler does too.

Betting Exchange disadvantages

The major disadvantage for online bettors is that there are fewer bonuses and rewards on offer unlike with regular online betting sites. Standard online betting sites tend to offer first-time customers welcome bonuses in the form of a free bet or lucrative deposit bonus which is not the case with a Betting Exchange such as Orbit Exchange or Betfair.

Another drawback is that there are lesser exchanges with a Betting Exchange site. However, a number of major Betting Exchange sites such as Orbit Exchange or Bet Football have begun increasing the number of exchanges through their respective websites.

One hindrance that has plagued Betting Exchanges over the few years since its introduction is the match-fixing. While match-fixing can take place across various online and offline betting platforms, it doesn’t occur too often with traditional bookmaker sites. Match-fixing can take place when a ‘layer’ offers high odds to attract gamblers before paying off the respective athlete(s) for an amount lesser than they what they could make during a particular match or event. As a result, foul play and unjust losses will taint the bet.

Whether you bet through a Betting Exchange site or a bookmaker, what is crucial is carrying out thorough research before placing any bets. This will help create awareness on whether you stand a chance to earn profits or incur losses.

FAQs

Q. What is a Betting Exchange?

Ans. Betting exchange lets players lay a bet through online platforms with the possibility of exiting the market at any given point of time. Players compete against each other rather than against a bookmaker and if they win, no one will be able to close their account.

Q. What are the best betting exchange strategies?

Ans. Depending on certain markets and odds, there are a various betting exchange strategies. These strategies range from laying the match and placing over bets, to dutching.

Q. Can I make money on a betting exchange?

Ans. Betting Exchanges allow players to earn cash provided the right money management methods are followed and important rules and operating methods are learnt.

Q. What is cash out?

Ans. Cash out is a mathematical calculation that divides the profit on all markets to obtain a certain amount of profit before a match or event concludes. This feature is what really separates Betting Exchanges from traditional bookmakers.

Q. Which sites offer betting exchanges?

Ans. A large number of sites offer betting exchanges with the most prominent ones being Orbit Exchange, Bet Football, Betfair, Smarkets, Betflag, and Matchbook.

Also Read: WHICH SPORTS ARE AVAILABLE ON ORBIT EXCHANGE?

Also Read: BETTING EXCHANGE – USES AND BENEFITS

Also Read: WHAT IS AN ORBIT EXCHANGE ACCOUNT?

Also Read: WHAT IS THE GAME SECTION ON ORBIT EXCHANGE?