A look at the advantages of betting exchanges

Discover the ways a betting exchange can benefit you

Trading at Betting Exchanges

Choosing a betting exchange

There are very few betting exchanges in operation when compared to the large number of companies operating Traditional Bookmakers; and as a result, your choice is limited. The most well-known exchange is Betfair, and they may seem like the obvious choice, but it is worth looking at the benefits offered by some of the other exchanges before opening your account. It also makes a lot of sense to have accounts at more than one betting exchange in the event that a site goes down for maintenance mid-way through your trade. 2 to 3 accounts is optimal, however do note that exchanges like WBX and Betfair have loyalty programs where your commission is discounted based on your betting activity. WBX offers up to 60% discount. Here are the advantages of betting exchanges:

More chances to win

Being able to lay a bet offers the punter more chances to win, particularly in events with multiple competitors. For example in a horse race with 10 horses, you can lay a horse not to win. If any other horse wins, your bet will pay out. This kind of flexibility is not offered on a standard sportsbook.

React to the market

You can also react to momentum changes in-play by laying an outcome that you have already backed; either to lock in a profit or minimise a loss, depending on which way a market moves.

No bookmakers margin

When a betting company opens a market on a particular event, their intention is to make a profit no matter what the outcome. As a result, the prices they offer are carefully calculated to attract betting activity but also to allow for an overall profit. Therefore, the odds are nearly always tilted in the bookmaker’s favor.

Better odds

Even bettors that are not interested in laying bets will often use betting exchanges to get better odds. With no bookmaker’s profit margin built in to the price, the prices can offer significant value over standard sportsbook odds. If you choose an exchange with low commission fees such as WBX, you will achieve even better value.

Ring-fenced money

When you deposit funds to betting exchanges like WBX, your account is ring-fenced and your money is only used to pay out winning members. World Bet Exchange also offers complete transparency by publishing full details of their audits on their website.

Winners are welcome

Bookmakers do not want winning customers if they can help it. Successful punters will have their accounts limited to small bets, or even have their account suspended as they are deemed unprofitable. This is an unfair practice for punters, and one that isn’t done at most betting exchanges. Because you are winning against other members, the exchange simply gets a commission regardless of the result so in the end there is no discrimination against punters.

Low commission fees

As a general rule, betting exchanges offer the best prices but they do charge a commission fee on transactions. Betfair can charge commission fees of up to 7.5% and they can also charge additional premium fees on winning accounts. For serious punters this kind of activity can be prohibitive and is perceived as discriminatory against winners.

World Bet Exchange or WBX have a much simpler commission structure that has lower fees and does not punish successful punters. Commission is only charged on your net winnings and not on your net losses. The rate of commission depends on the amount of competitors in an event and there are no premium charges or account limits.

In events with 3 or less entrants (football, singles tennis, basketball, etc), commission is charged at just 3%. In events with 4 entrants this rises to 4% and in events with 5 or more entrants (horse racing, formula 1, etc), commission is charged at 5%. You also get further discounts the more times you bet by building up loyalty points.

Conclusion

If you are just a casual gambler, the easy-to-learn and commission-free nature of a sportsbook may appeal to you. After all, sometimes you might just want to gamble for fun. But remember, you can still bet for fun on an exchange and you will nearly always get better value for your money.

For more serious gamblers, switching to a betting exchange is a no-brainer. Having the ability to lay and hedge bets opens up so many more profit opportunities that it is hard to find a reason not to open an exchange account. By choosing an exchange with simple fees and no restrictions on winning accounts, you can concentrate on finding high value bets and enjoying the excitement of dynamic in-play betting. If getting started on exchanges, WBX is a great option with low minimum bets at just £/€/1 per bet (no maximum), and offers up to £25/€25 in free bets when you join.  

 


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