Arbitrage Betting Explained
Arbitrage betting, also known as arbing, is a strategy that allows you to guarantee a profit by placing bets on all possible outcomes of an event at different sportsbooks. While it sounds too good to be true, arbitrage betting is a legitimate strategy that can be used to make risk-free profits. This guide will explain what arbitrage betting is, how to find arbitrage opportunities, and the risks involved.
What is Arbitrage Betting?
Arbitrage betting is the practice of placing bets on all possible outcomes of an event at odds that guarantee a profit, regardless of the outcome. This is possible because different sportsbooks may have different opinions on the likelihood of an outcome, which can lead to discrepancies in their odds.
How to Find Arbitrage Opportunities
Arbitrage opportunities can be difficult to find manually, but there are a number of software programs and websites that can help you identify them. These tools scan the odds at multiple sportsbooks and alert you when an arbitrage opportunity is available.
Calculating Arbitrage Bets
Once you have found an arbitrage opportunity, you need to calculate how much to bet on each outcome to guarantee a profit. There are a number of online arbitrage calculators that can help you with this. You simply enter the odds for each outcome and the calculator will tell you how much to bet on each side.
Risks of Arbitrage Betting
While arbitrage betting is technically risk-free, there are a few risks to be aware of:
- Execution Risk: You need to be quick to place your bets before the odds change. If the odds change before you are able to place all of your bets, you could end up losing money.
- Bookmaker Limits: Sportsbooks do not like arbitrage bettors and they may limit or close your accounts if they suspect you are arbing.
- Cancelled Bets: In rare cases, a sportsbook may cancel a bet after it has been placed. This could leave you exposed to a loss on one side of your arbitrage bet.
Conclusion
Arbitrage betting is a legitimate strategy that can be used to make risk-free profits. However, it is not a get-rich-quick scheme. It requires a lot of time, effort, and a significant bankroll to be successful. If you are willing to put in the work, arbitrage betting can be a profitable way to bet on sports.
Key Takeaways
- Arbitrage betting is a strategy that allows you to guarantee a profit by placing bets on all possible outcomes of an event at different sportsbooks.
- Arbitrage opportunities can be difficult to find manually, but there are a number of software programs and websites that can help you identify them.
- You need to calculate how much to bet on each outcome to guarantee a profit.
- While arbitrage betting is technically risk-free, there are a few risks to be aware of, including execution risk, bookmaker limits, and cancelled bets.
- Arbitrage betting requires a lot of time, effort, and a significant bankroll to be successful.