Arbitrage betting: how to take advantage of discrepancies in odds

February 18, 2023
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In the world of sports betting, there is a technique known as “arbitrage betting” that allows gamblers to potentially make a profit by taking advantage of discrepancies in odds offered by different bookmakers. While the practice is not illegal — it is not without risk and requires a significant amount of research and attention to detail.

Arbitrage betting involves placing bets on all possible outcomes of a sporting event at different bookmakers, with the aim of guaranteeeing a profit regardless of the outcome. This is achieved by taking advantage of differences in the odds offered by different bookmakers, which can occur due to variations in their algorithms, the amount of money being placed on each outcome, or simply human error.

For example, let’s say a bookmaker offers odds of 2.0 for Team A to win a football match, while another bookmaker offers odds of 2.1 for Team B to win. By placing a $100 bet on Team A with the first bookmaker and a 95.24 dollars bet on Team B with the second bookmaker, the gambler can guarantee a profit of $4.76 regardless of the outcome.

While this may seem like a surefire way to make money, there are several factors to consider. First, bookmakers are aware of arbitrage betting and may limit or even ban gamblers who engage in the practice. Second, discrepancies in odds may not be significant enough to guarantee a profit — and the amount of money required to make the bets may exceed the potential payout. Finally, mistakes can be made in calculating bets, which can result in losses…

Despite these risks, many gamblers have found success in arbitrage betting by carefully researching the odds offered by different bookmakers and monitoring the market for changes. In some cases, arbitrage betting can even be used to hedge against losses from traditional sports betting.

As the popularity of sports betting continues to grow, it is likely that more gamblers will turn to arbitrage betting as a way to increase their profits. However — as with any form of gambling, it is important to approach the practice with caution and to carefully consider the potential risks and rewards.

Here are five real-life examples of sports betting arbitrage opportunities that have actually happened:

  1. In 2016, the UEFA European Championship was held, and during the tournament, an arbitrage opportunity arose for a match between Iceland and Austria. One bookmaker had odds of 7/1 for Iceland to win, while another bookmaker had odds of 7/2 for Austria to win. A bettor who placed equal bets on both outcomes could have gauranteed a profit of 11.8%.
  2. In 2019, a match between the Toronto Raptors and the Milwaukee Bucks in the NBA playoffs presented an arbitrage opportunity. One bookmaker had odds of 2.08 for the Raptors to win, while another bookmaker had odds of 1.98 for the Bucks to win. By placing equal bets on both outcomes, a bettor could have guaranteed a profit of 4%.
  3. In 2018, a match between the Philadelphia Eagles and the New England Patriots in the NFL Super Bowl presented an arbitrage opportunity. One bookmaker had odds of 2.75 for the Eagles to win, while another bookmaker had odds of 2.65 for the Patriots to win. By placing equal bets on both outcomes, a bettor could have guaranteed a profit of 3.8%.
  4. In 2020, a match between the Los Angeles Lakers and the Miami Heat in the NBA Finals presented an arbitrage opportunity. One bookmaker had odds of 1.36 for the Lakers to win, while another bookmaker had odds of 3.6 for the Heat to win. By placing equal bets on both outcomes, a bettor could have guaranteed a profit of 3.3%.
  5. In 2017, a match between the Pittsburgh Penguins and the Nashville Predators in the NHL Stanley Cup Finals presented an arbitrage opportunity. One bookmaker had odds of 2.0 for the Penguins to win, while another bookmaker had odds of 2.1 for the Predators to win. By placing equal bets on both outcomes, a bettor could have guaranteed a profit of 4.8%.

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