A betting exchange like Betfair allows punters to bet directly against other punters rather than taking fixed odds at a bookmaker.
Because margins aren’t factored into the odds at bookmakers, you will usually get much better odds at a betting exchange, however, winning bets are charged a small commission (usually 2-10%). There are no commissions charged on losing bets.
What’s the Difference Between a Bookmaker and a Betting Exchange?
The main difference between a bookmaker and a betting exchange is that you bet against other punters at a betting exchange, and a betting exchange also allows lay betting – which is betting on a horse to lose.
Betting exchanges also allow live in-play betting online, which can only be done over the phone with corporate bookmakers.
Betting Exchanges in Australia
Betfair is the only betting exchange available to Australian punters, and it is the largest betting exchange in the world. If any new betting exchanges are to launch in Australia, you’ll be able to find out all about them here at GoBet.
What are the Benefits of Using a Betting Exchange?
One of the main benefits of using a betting exchange is that you get to set your own odds, then it’s up to other punters to decide if they want to take you on at that price.
The other main benefits of using a betting exchange is that you will never have your account banned or restricted for winning too much, and higher-stakes bets are often accepted with no issues.
What are the Downsides of Using a Betting Exchange?
The main downside of using a betting exchange is that they don’t offer any ongoing betting promos or bonuses. This is only a downside if you are a casual punter who enjoys regular promos – more experienced punters will enjoy the freedom that a betting exchange offers.