Do You Know How A Sports Betting Bookmaker Works?

Do You Know How A Sports Betting Bookmaker Works?
June 30 07:12 2017 Print This Article

What are online betting sites? Well they are nothing more than bookies. The only difference is that they hire a number of people to set the odds of a game. But the question is how do they work and how do they earn money in the whole betting venture. Agen judi online and other such betting opportunities are a good way to make money.

Consider a coin toss, say  X and Y are tossing coins and they are each betting $1000 on it, X wins if its head and Y wins if its tails. The mathematical probability is 50{f35b16eb0048c74681985a1969674bbcc954290adb4d0e54cc91fa746b5957d4} of heads and 50{f35b16eb0048c74681985a1969674bbcc954290adb4d0e54cc91fa746b5957d4} of tails, so the odds offered by the bookie should be 1:1. So, if X wins he gets $2000 and Y gets nothing and vice versa.

But from the point of view of a bookie, this makes no sense as he or she doesn’t make any money at all. So, in order to make money, the bookmaker will offer odds of 1:2, so the pot is of $2000, but if X wins, he gets $500 as profit, so total $1500, Y gets nothing and the leftover $500 goes to the bookie as profit. So, the people making bets are getting a lower payout than they would if the mathematical probabilities were followed.

It might seem that the bookie is taking too much money without doing anything, but the truth is they do take risks. In the coin toss scenario, the bookie isn’t taking any risk as the books are perfectly balanced, but in real life sports betting scenarios there is much risk involved as there are many variables to factor in while calculating odds.

For example, if team A is playing team B and team B is the clear favorite, then most people might bet on team B, this means the bookie will have to assume risk for team A. And if the bettors win, the bookie will pay them out of his or her pocket. So, in such a scenario, the bookie might tweak the odds so that more people bet in favor of team A and the book balance out so he or she can make a profit in agen judi online.

 

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Henry Dick
Henry Dick

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