clarification needed

[bettorjon]

what is the difference between a sportsbook and a betting exchange?

do betting exchange impose limits as well?

which is better, sb or be?

thanks

[Hareeba!]

what is the difference between a sportsbook and a betting exchange?

do betting exchange impose limits as well?

which is better, sb or be?

thanks

at a sportsbook the player bets against the bookie

at an exchange players bet against each other and the exchange charges a commission

the bookie takes a risk on every bet, and exchange takes no risk

exchanges overall offer better value to the player but unless there is another player wanting to bet opposite to you, you many not be able to bet as much as you want ... this can happen in more obscure markets and lesser grade events

many bookies will limit your action if they don't think they can beat you in the long run - all the Euro books do that and many others too - the prime exception is Pinnacle

exchanges don't limit you because the more you bet the more commission they make and they are not the ones risking your bets

[bettorjon]

so when it comes to betting exhange, the limitation of the amount being wagered on depends on the amount that the player that you are playing against is willing to risk?

for example:

player A risked $500 on a certain game so i am only allowed to bet $500 at the most against this player if i feel that the opposite side would win?

and when it comes to sportsbooks, it all depends on how much the book is willing to take on your risked amount?

am i right?

[Hareeba!]

so when it comes to betting exhange, the limitation of the amount being wagered on depends on the amount that the player that you are playing against is willing to risk?

for example:

player A risked $500 on a certain game so i am only allowed to bet $500 at the most against this player if i feel that the opposite side would win?

and when it comes to sportsbooks, it all depends on how much the book is willing to take on your risked amount?

am i right?

pretty well correct there

but one of the big advantages of a betting exchange is that if the odds or funds you want aren't currently available you can post an offer to bet at and for what you want to stake and hope that someone comes along and accepts your offer ...... I do a lot of that at Betfair and even when I think I'm just dreaming about the offer I've posted I'm quite frequently surprised to get it matched

[stikymess]

so when it comes to betting exhange, the limitation of the amount being wagered on depends on the amount that the player that you are playing against is willing to risk? for example: player A risked $500 on a certain game so i am only allowed to bet $500 at the most against this player if i feel that the opposite side would win? and when it comes to sportsbooks, it all depends on how much the book is willing to take on your risked amount? am i right?

The money is pooled so if player A,B,C,D all like a side at 500 each then you can play for 2k on the other side.

[bettorjon]

thanks to your replies guys.

so different players can place any amount to a certain side?

should the amount be equal for the bets to push through?

for example:

players A B C D total reach $2k. but i am only winning to risk $500 for the opposite side, will these bets push through?

furthermore, so betfair has its own odds and if a player doesnt like any of the given odds, he can make his own and wait until someone will play against him. if so, its just basically a 1-on-1 affair?

[bettorjon]

corect me if im wrong, betting exchange are more secure when it comes to payouts? because betfair for instance doesnt lose any amount of cash coz the game is player vs. player and not bookies vs. player?

[Hareeba!]

corect me if im wrong, betting exchange are more secure when it comes to payouts? because betfair for instance doesnt lose any amount of cash coz the game is player vs. player and not bookies vs. player?

well there's some logic to that in theory at least but costs can be enormous too and I think the exchanges do actually take on some betting risks as well but more relevant in the case of Betfair is that they are very strictly regulated and required to keep player monies separate from company funds so would be as safe as any betting agency anywhere

but the same goes for bookies in the UK and Australia so I wouldn't have any concerns playing with any of them on the score of safety

[Maniac]

corect me if im wrong, betting exchange are more secure when it comes to payouts? because betfair for instance doesnt lose any amount of cash coz the game is player vs. player and not bookies vs. player?

The exchange needs to have enough customers to keep money moving in and out of it to cover their overheads from the commission they earn - the more stakes being matched then the more commission the exchange earns, and the more secure they "should" be.

As Hareeba says, with Betfair, the player funds are kept in a seperate pool so funds will always be there to cover the client balances in the event that the company cant stay afloat due to the money they make from commissions not covering their costs - in Betfairs case as the biggest and best exchange in the world, then they are about as safe as they come.

Other exchanges that are not as well regulated or required to keep the players money seperate from theirs then I would be careful, but you should get any idea how much money is being matched if you look through a number of markets.

[bettorjon]

i'll try matchbook and betfair one of these days to further undrstand how betting exchange works.

thanks everyone