subject: Betting Exchanges: How They Have Changed Online Sports Betting [print this page] Betting Exchanges: How They Have Changed Online Sports Betting
A betting exchange is a place in which gamblers can bet on any event where betting is in vogue. Any sporting event like cricket, football, rugby, golf, tennis, boxing, etc, invites betting from all over the world. Horse racing is of special importance. The entire operation of betting and pay offs is done online. It can be compared to a stock exchange.
Betfair claims to be the largest online betting exchange in the world. A U.K based company, it had been in existence for about 10 years and in the short period its growth has been unimaginable. With a client base of more than 3 million and a weekly turnover of GBP 50 million its claim is really believable and sustainable.
Because of the rapid growth of the company and the superb manner in which it has been managed, Betfair has won several awards in the world of business. The founders have won the prestigious Emerging Entrepreneur Award. Investors have a very high opinion of the company and the value of the stock. They are not interested in spending the capital base of the company by public offer if the share value is not above their own valuation. Betfair has been expanding its business outside of the U.K as well, notably in European countries, Australia and New Zealand.
Online betting exchanges do not need the services of a middleman or a bookmaker. A user has the choice of making a bet for a win of a particular team or a horse or on a different team or a horse which may not be the favorite. Once you have become a member of a betting exchange like Betfair or Betdaq, you can do all your betting online, saving substantial money by way of the bookmaker's commission. An exchange like Betfair offers substantially better odds than that of a bookmaker. No doubt, the betting exchange charges a commission that is normally 5%, but in special cases it may be reduced to 2%.
Bookmakers charge as much as 25% to cover up their own risk. Online betting exchanges have severely cut into their business. There are big bookmakers who have tried to prevent the growth of business for online exchanges through influence and possible legislation. They have also made charges of corruption. Online betting exchanges have countered that their entire business is transparent because the betting is done by persons who have opened accounts with them and the company maintains detailed accounts of all the members throughout the world. They also offer full cooperation with law enforcement agencies.
Betdaq is another big betting exchange with turnover around GBP 20 million per week. The one advantage of online betting is that your betting is against other online betters. The odds offered need not be taken and the member can go by his own odds. Betdaq makes a point of entering in the exchange so that others can also use it. Betting is possible until the last moments of any event.
Betson, a division of Betti Industries, is a company with a long history of making and supplying almost all the machines required for amusement, vending and betting business. They also import and distribute machines of other companies.
The coming of betting exchanges has acted as a catalyst for the improvement of online betting, especially for sports and with accessible reach world over, can look for higher trajectory growth.
