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Today, the Internet has captured our lives. This is perhaps the largest wallet service that finds acceptance at most of the poker and bingo sites. The audio and video effects make a huge plus to the site, and render it as a perfect choice for online gaming.
Your rating: None
The customer response has been quite impressive, but this network is still trying to make its mark in online Poker. However, as per a recent legislation, it is not available to the citizens of United States.
After the Digital gaming network failed to do well in the industry, Gold chip gambling network was launched on the Internet with an intention to make it a success
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12bet ทางเข้า Popular casino websites can accommodate an incredible amount of gamblers at a time, which is why you need to be able to welcome your new players with a really impressive gaming environment to make them loyal.
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Online gambling industry is rapidly developing and it is also a highly competitive market. Visit those online casinos that use poker software created by the company you are interested in. You have to make sure your newly acquired poker software will pass the quality check by licence issuing organisation. Of course, many companies tailor all products to the needs of their clients, but despite some differences in design, the functionality should remain perfect.
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m88 เข้าไม่ได้ Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
Some in the casino industry doubt the wisdom of allowing online gambling. Payne, chairman of the House gaming committee, says the state’s need to raise money increases the chances for approval.
We follow the same standards for taste as the daily newspaper. Tom Wolfe proposed numerous tax increases to combat a $2.3 billion state budget deficit, the chairman of the state House’s Gaming Oversight Committee proposed legalizing online gambling and predicted it would raise millions for the state. His bill would limit control of online gambling to existing casinos. Payne also wants to legalize and regulate fantasy-sports betting.
Statewide slot payout rate since July 1: 89.93 percent; for every $100 bet, machines return an average of $89.93
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We moderate comments. We reserve the right to edit a comment that is quoted or excerpted in an article. The actual casino win for its first year of online gambling was $122 million, with the state getting 15 percent of that.
He’s hopeful Pennsylvania or another state will add online gaming this year.
The IRS is taking public comment through June 2.
Katz, who started an interactive online-gambling business while in college, says the Internet has created many new jobs. “What we really need to see is additional states legalizing (online gaming) every single year until we reach critical mass in the United States.”
Rivers: 89.69 percent payout; weekly slot revenue $5.46 million, down from $6.11 million last year
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. Our goal is to provide substantive commentary for a general readership. That’s the same rate as on table games in traditional casinos.
The online bill is part of an effort to bolster the state’s casino industry. Payne calls his prediction of $120 million in Pennsylvania conservative, noting that the gambling market is 30 percent larger than New Jersey’s. He also notes that the committee’s Democratic co-chairman, Nick Kotik of Coraopolis, is a co-sponsor of the bill, so it’s not a Republican vs. The agency says technological advances since the current level of $1,200 was set nearly 40 years ago might warrant the reduction.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. A few things we won’t tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Casino consultant and former executive Jim Kilby says it doesn’t create jobs and will take jobs away from traditional casinos.
The American Gaming Association, which represents the casino industry, calls the change burdensome, unnecessary and costly – not only for the industry but for governments that rely on gambling taxes. We will make them as carefully and consistently as we can. Proponents predicted New Jersey casinos would see an online market of $200 million to as much as $1 billion a year. In this case, we may fix spelling and punctuation.
Previous online bills have gone nowhere in the Legislature. Less than a week before Gov. Instead, corrections will be made in a blog post or in an article.
Matt Katz, CEO of Central Account Management Systems, which provides payment-processing and player-verification services to online casinos, says government officials should understand that online gambling is an investment that doesn’t pay off immediately.
“When you look at Europe, the growth of a regulated market takes a good three to five years before it really hits its stride, to where the industry is generating a good amount of taxable revenue for the state,” he says.
Pennsylvania’s size, location and budget problems make it ripe for online gambling.
Tax revenue in the three states with online gambling hasn’t met predictions. “We expect Pennsylvania and New York to serve as the states around which all lobbying efforts in that corridor revolve.”
Presque Isle: 89.61 percent; weekly revenue $2.38 million, down from $2.69 million
Statewide slot players’ loss in week ended March 9: $47.75 million, down from $50.73 million in comparable week last year
The idea of legal online gambling in Pennsylvania seems to be gaining momentum.
In February, an international research firm predicted the state would be a focal point for Internet-gambling supporters. Users must be within the state to play online. The GamblingCompliance study predicts that effort will fail.
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
TribLive commenting policy
A study by GamblingCompliance, which has offices in London and Washington, D.C., estimates eight to 11 states will consider bills this year to authorize or amend Internet-gambling laws.. He can be reached at 412-320-7838 or email@example.com.
High and low payout rates: 90.68 percent at Parx in Philadelphia; 89.16 percent at Penn National near Harrisburg
“People can go broke from the comfort of their bedroom,” he adds.
“Everything in business is about positive momentum,” he says. But these suggestions should be sent via e-mail. Don’t include URLs to Web sites.
Only Nevada, New Jersey and Delaware now allow online gambling; about a dozen states have a form of Internet lottery. Another legislator proposed a poker-only bill .
Meadows: 89.98 percent; weekly revenue $4.13 million, down from $4.78 million
Slot jackpots as low as $600 might have to be reported to the government in the future, according to an Internal Revenue Service proposal. Software pinpoints where players are; identity and age verification are part of setting up betting accounts.
IRS may lower jackpot reporting threshold
Source: Pennsylvania Gaming Control Board
Lady Luck Nemacolin: 90.19 percent payout; weekly revenue $490,347, down from $541,705
Billionaire Sheldon Adelson, whose casinos include the Sands in Bethlehem, backs a federal bill to outlaw online gambling. Democrat proposal.
Mark Gruetze is administrative editor for Trib Total Media. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
“If I have choice of an income-tax increase or additional gaming revenue, I’m taking additional gaming revenue,” he says. To avoid distracting other readers, we won’t publish comments that suggest a correction. Slot players who win a jackpot of $1,200 or more do not get paid until receiving a W-2G form showing the income, which must be reported on the winner’s tax return.
We welcome strong opinions and criticism of our work, but we don’t want comments to become bogged down with discussions of our policies and we will moderate accordingly.
“We expect Internet-gambling proponents to focus on the populous Northeastern corridor, where Internet and mobile penetration is high and per-capita income is attractive,” the study says. They are either approved or deleted. Licenses would cost $5 million, and the state would get 14 percent of gross online-gaming revenue in taxes. He supports linking online casinos with land-based casinos to help preserve the “massive investments” made in traditional gambling operations.
We do not edit comments
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m88 เข้าไม่ได้ Secondly, never wager more than 2% of your total bankroll on any single wager. If you bet 3 teams straight action and only win 2 of the 3, you?ve just made money. While some do it just for recreation or to make watching a TV game more exciting, there are others who will always wager on their favorite team or player, period. Over the course of a year, that ?, 1, or even 2 point difference will come into play many times, and trust me?it will add up to a lot of money.
Rule #4 ? DO NOT Play Parlays or Teasers ? Parlays, teasers, and other exotic wagers are offered for a reason. If you?re winning, the 2% per wager automatically increases as your bankroll increases. If you?re on medication, drugs, or alcohol, or if you?re just in an upset or disturbed mood, be smart and don?t play until you?re back to 100%.. If you set aside $1,000 for gambling, your individual bets should be in the $20 range and no more. Most people just don’t have the time to properly study things like past statistics, line moves, trends, angles, valuable lines, inflated numbers, and much, much more. If it were really possible for anyone to consistently pick 3 out of 3, parlays (and teasers) wouldn?t be offered by the sports books. Drugs (legal or otherwise) and alcohol can cloud your judgment and will lead you into making decisions that you normally wouldn’t make. If you?re serious about winning more bets than you lose, you should listen to a professional.
Rule #5 ? Perform Due Diligence – As a bettor, you normally have the opportunity to do research well in advance of having to make that final decision on a wager. Since you?re reading this, you?re probably part of that majority. Always look for the best prices or the best numbers. Stick to straight action only. Never wager more than you can afford to lose, so be honest with yourself on what you can comfortably set aside for recreation or otherwise. Stick with 2% and never double up and chase lost money.
Rule #2 ? Never Gamble Under the Influence ? To coin a phrase, ?Speak when you?re drunk and you?ll probably make the biggest speech you?ll ever live to regret.? The same sensible theory applies to betting on sports. That gives you an automatic advantage over the bookie, so use it to the fullest extent. If betting on sports is more than just a recreational pastime, or if you just don?t have the time or resources for Rule #5, seriously consider employing the services of a professional sports handicapper. To be successful at anything, your mind needs to be 100% clear and functional. Yes, you can bet a 3-team parlay, and if you win, it normally pays in the vicinity of 6 to 1 in football and basketball. Watching ESPN and/or reading opinionated articles by sports writers on the Internet is not the proper way to do your homework. Hook them all together in a parlay and you must win all 3, or you?re sunk. Unexplainably, wins and losses often times run in streaks, so slowly increase your bets on a hot streak and back off on cold streaks. For example, if you live in California and become an expert on the PAC 10, you can increase your chances of winning by focusing on just your niche.
Whether you?re a recreational player or actually doing it solely for a profit, may you always have more winners than losers, and always remember to have a lot of fun along the way, but stick to the rules.
Rule #3 ? Spend Some Time Shopping ? This can be compared to shopping for a new car or even for groceries. If you?re sick, you go see a doctor. After checking several well-established and solid options, decide on 2 or 3 of them, and then divide and deposit your initial bankroll equally amongst each one. The payoff odds and point spreads are not carved in stone throughout the industry, and on any given day, they can vary greatly between different shops. Conversely, if you?re on a losing streak and the bankroll goes down, the size of your bets will decrease accordingly. To be done properly (and profitably), here are some very crucial rules one must follow.
Rule #1 ? Use Proper Money Management ? This rule is the one that is most neglected and explains why Vegas keeps on building all of those multi-billion dollar casinos. It?s a proposition for losers only, so don?t do it.
People all over the world love to bet on sports. Rule #6 ? Seek a Professional – There is a wealth of valuable information available on the Internet but you have to take the time to do proper and thorough research. Whichever group you fall into, sports wagering must be treated the same as any other financial investment. Research several sports books thoroughly and compare the numbers. One of the best ways to win at sports wagering is to maybe find your own special niche and then follow it closely. However, there is an elite third group out there who bet sports with one and only one purpose in mind?to make money. Then, before making your wager(s), check each book and always take the best number on your particular event
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Sports Football betting is undoubtedly one of the most common approaches to sports wagering, as it brings forth a broad selection of sports lines for both NFL football and college football betting and presents bettors with many interesting wager options. These components are categorical in determining how American online football is played. It is one of the most popular sports in America. Despite the extensive array of interesting opportunities for making profit on the outcome of football matches, note that it ……
Playing American Online Football Games
The World of Football Betting Explained
. Like any other online football game, American football is classified with unique components such as board and pieces, miniatures, cards, a ball or computer. The list with popular football betting opportunities includes, but is not limited to, seven different types of bets: straight bets, over/ under bets, parlays, teasers, money line wagers, half time bets, and future bets. American football is like a token that is supposed to reflect a number of several things though it is always characterized by tools and defined by its rules governing each step of play
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The fun88 login betting line is created and adjusted to meet the opinion of professional gamblers because it is they, not the casual fan, who bets serious money on the game.
Reality: More than any misconception, this myth probably best illustrates the difference between how professionals and amateurs think. Myth #2: Betting lines get balanced action.
Myth #9: It’s never wise to bet on rumors
Given the massive popularity of the NFL, it’s surprising that the sport is shrouded in so much betting misunderstanding and misconception.
Let’s try to separate betting myth from reality:
Reality: With the exception of the Super Bowl, the public plays almost no role in the linemaking process. That’s probably not just luck.
Reality: Nowadays, with nearly everyone having access to the Internet, it’s not so much the information as how well that data is interpreted. Professional bettors generally wager approximately the same amount on every game they play. A detailed, in-depth assessment of NFL teams begins more than a month before the opening kickoff. Many years ago, if a bookmaker found out some significant nugget of data, he might try to lure the bettor to the “wrong” side. Knowing the strength of a team is worthless if you don’t also know the strength of the opponent.
Myth #5: Professional gamblers pick their spots, betting just a couple of games a weekend.
Myth #1: Betting lines are created to beat the public.
Myth #8: Statistical wagering trends are important.
Myth #7: Bettors can win by concentrating on a specific conference, division or region.
Myth #4: Bettors have the edge early in the season because oddsmakers and bookmakers need more time to assess the teams.
Reality: While the goal is to construct a betting line that is of equal attraction to both favorite and underdog players, it rarely works out that way. Since most lines are accurate, the bettor takes little betting risk in chasing a rumor.
. While it’s true that teams often do not tip their hand during the preseason or against weak, non-divisional foes, players are in no better position to uncover this deception than are bookmakers. The concept of a “best bet” is a media creation that is foreign to professional sports bettors. Professional gamblers believe all their bets are good ones; that’s why they make them.
Reality: Not likely. Think of it this way: If you’re a successful gambler, why risk serious money on just a few games where a freak play or an official’s call can make you a loser? The wider the net is tossed, the less of a factor luck becomes in the outcome.
Reality: More hours are spent analyzing the opening week of the NFL season than any other is. For example, if a professional bettor hears a rumor that Peyton Manning has the flu and is too ill to play quarterback for the Colts, he’ll quickly bet on Indianapolis’ opponent. Those days are gone as inside information has all but ceased to exist and there is no such thing as a “trap” game.
Myth #3: Bookmakers have inside information that they use to establish “trap” games.
Reality: Technical analysis may be popular but it’s hardly meaningful. Historically, the first six weeks of the season have been very kind to bookmakers. If the rumor is false, then he’s played Indianapolis’ opponent at a fair price. Professional bettors put little faith in the favorite/underdog, home/away pointspread analysis that so often is cited by gridiron “handicappers.” It’s just another method of backfitting dismissed as irrelevant by wiseguys.
Reality: Oh, yes it is. Traditionally, how the house fares on these lopsided games, called “decisions,” determines whether books win or lose.
Myth #6: Wiseguys bet more on games they really like.
Reality: Actually, sophisticated gamblers bet a lot of games. If the rumor is correct, the gambler has stolen the line on a game that’s certain to change. Bookmakers still may occasionally receive information regarding injuries or weather changes before players, but thanks to technology, that advantage often can be measured in seconds. A professional gambler believes that if a game is worth betting, it’s worth betting significantly. It’s not enough to have one specific area of expertise because the NFL schedule demands that teams play half their games outside their own division. More typically, a third of the games on the NFL schedule will have an insignificant amount of betting to cause much of a concern, another third will have active but balanced betting and the remaining third will have mostly one-way action
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All rights reserved. law.
This isn’t the first time the industry has faced a serious setback.
British BetOnSports PLC folded after its chief executive was arrested in July by U.S. He was eventually freed.
“There will be a big hit to the industry,”Sinclair said.”A big hit. There’s too much money for it to go away.”
The new law gives the U.S. It runs what was once the world’s biggest poker site, PartyPoker, and has said it will no longer take payments from the U.S., eliminating nearly 80 percent of its revenue and sending its stock plunging.
Industry experts say there are an estimated 2,000 Internet sites that take bets for sports and poker. bets, including PokerStars. banks that want to be free to do business with them.
NEW YORK — Gamblers may look over their shoulder now, but experts say a new Internet m88bet gambling ban won’t keep bettors from ponying up, just turn them on to overseas payment services out of the law’s reach.
“It has put a terrible scare into people,”said I. the likelihood of stopping payment to them is small,”Cabot said.
The fright swept through the $12 billion industry on the heels of the recent arrests of two gambling company executives and a new law President Bush signed Oct. payment processors such as the widely used Neteller then transfer the money to the Internet gambling sites.
Both PokerStars and FullTilt have already seen traffic on their Web sites surge, taking advantage of any short-term gain now that some of the competition has been sidelined. On its Web site recently, FullTilt boasted:”We’re Here to Stay!”and offered bonuses to sign up.
“Their mission is to kill the funding of online poker, and that’s what this law does,”said Mike Sexton, who hosts the popular World Poker Tour and has won millions as a professional player.
By ADAM GOLDMAN, AP Business Writer
Both arrests sounded serious alarm bells for those running sports wagering sites that take American bets.
Anthony Cabot, a well-known gambling lawyer in Las Vegas, thinks language used in the bill provides a loophole for the payment processors and the U.S. When news broke earlier this month that Congress has passed the bill, Internet gambling companies traded on those exchanges lost a combined $7 billion in market capitalization.
Much damage has already been done to the offshore sports betting industry without the looming regulations.
“The regulations are clearly going to prevent banks from doing electronic fund transfers to gambling sites, but that is no big deal,”Rose said.
It’s also widely understood that the law has online poker in its gun sights, identifying it as a game of chance _ something the poker companies dispute. Treasury and Federal Reserve, along with the Attorney General, 270 days to establish policies and procedures.
“There are privately owned operators that will continue to take play as long as they have payment processors that will work with them,”said Sue Schneider, publisher of the online gaming magazine Interactive Gaming News.”I think the big question is whether the volume remains the same. It will essentially try to choke off the way Americans fund their gambling habits, hoping to prevent the transfer of dollars to the popular Internet sites.
But so far, Neteller’s decision to work with PokerStars has amounted to good news for sites not afraid of scorning U.S. David Carruthers faces 22 counts of fraud and racketeering charges and remains under house arrest in the St. But it’s not going to be long term, it’s transitory until somebody finds a solution to whatever roadblocks are put in their way. But serious questions remain about whether the legislation can be effective in stopping U.S. It’s simply too lucrative.
It creates new criminal penalties, which have rattled investors and executives _ although Rose said it doesn’t expand the act, and there’s no indication the Justice Department is about to launch a huge campaign to enforce the law.
Associated Press Writer Jane Wardell in London contributed to this report.
PartyGaming PLC, once the envy of online gambling with its more than $8 billion IPO in 2005, is now trying to figure out how to save its business model. lawmakers initially trumpeted they had found a way to halt bets coming from America. Sportingbet said its exit from the U.S. authorities. market, it has left poker players and bettors gravitating toward private companies.
The new law comes amid an explosion in online gambling, fueled by the Texas Hold’em craze and widespread access to the Internet. 13 that seeks to ban most online gambling and criminalizes funds transfers.
The”Unlawful Internet Gambling Enforcement Act”goes after the money, not the millions of players, which would be nearly impossible to enforce. operations for a dollar. bets, ensuring its profits will fall dramatically.
Neteller has said it is evaluating the law. Non-U.S. market cost it nearly $400 million.
Like then, Sinclair thinks Internet gambling will recover again. Nelson Rose, who teaches gambling law at Whittier Law School.”But it won’t by any means wipe out Internet gambling.”
Experts say while the new law has forced the public companies out of U.S. 2, FirePay announced it had stopped doing business with sites that might take U.S. Capital was tripping over itself to fund these companies.”
“Unless you have some fairly Draconian measures … This material may not be published, broadcast, rewritten or redistributed.
Tuesday, October 24, 2006
“The time has been one of rapid growth,”said Sebastian Sinclair, president of Christiansen Capital Advisors, a gambling consultant.”This industry was well on its way to becoming mainstream in a great part of the world. Neteller and FireOne, which owns e-wallet FirePay, also saw their stock price plummet. In addition, dozens of Web sites have sprouted up that allow any gambler with a credit card to bet on any sport they choose, for any amount of money they want.
Experts: Ban Won’t Stop Online Gambling
Copyright 2006 The Associated Press. They believe poker is a game of skill and therefore not subject to the new rules.
But they’re fearful nonetheless.
The U.S. But I don’t think any of this means there will be less people playing on the Internet.”
Still, the biggest publicly traded names in Internet gambling on the London Stock Exchange and AIM, the exchange’s global market for growing companies, could not afford to flout American law. Louis area.
London-based Sportingbet’s chairman was detained last month in New York on a state fugitive warrant charging him with illegal online gambling. In some cases, banks simply move the money to payment processors, known as e-wallets. The decision forced PokerStars, now the biggest poker site in the world and a registered business in Costa Rica, to rely on Neteller to take money for bets headed to its site.
The law has wiped out billions of dollars in shareholder value of British companies, leaving the industry’s future in doubt as U.S. If Neteller abandons PokerStars and other sites, their bottom lines, no doubt, will be hit hard.. It supposedly clarifies the 1961 Wire Act, explicitly outlawing Internet gambling, including online poker.
The bleeding didn’t stop there. On Oct. In 2001, Visa and MasterCard and other merchant banks stopped allowing money to be sent to Internet gambling sites.
Another poker company, 888 Holdings PLC, also said it would stop taking U.S. American players have fueled Internet gambling, supplying $6 billion of the $12 billion in revenues generated annually.
Clamping down on the banks won’t serve as a panacea, Rose said. government has no authority over processors like Neteller that are operating legally.
The new legislation has already had a dramatic effect. residents from playing poker or betting on sports.
Sportingbet and Leisure&Gaming both sold their U.S
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Has (corruption) stopped? There are laws made for murder too, but have they stopped happening?”
Former Indian Test cricket Madan Lal is more pragmatic. That money can be used for the betterment of the society, of the needy.
In any case, betting on sports is not even really illegal, considering that the colonial law of the Public Gambling Act, 1867 that prohibited all kids of gambling prior to 1947, has been defunct.
In 1996, the Supreme Court, responding to a petition seeking to outlaw betting on horse racing, ruled that it was legal as racing involves ‘skill’ rather than leaving things to pure chance. The Government will have to do it. But online betting, pertaining to the central law of the Information Technology Act, 2000, does not allow online betting on sports in other states.
But once again, the onus to make sports betting legal in the practical sense does not even lie with the central government’s ministry of sports. . Only Goa and Sikkim allow betting and gambling, with the The Sikkim Online Gaming (Regulation) Rules, 2009, allowing online sports betting within the state legal, subject to the operator holding a licence. “Betting is a tricky situation, but one can go ahead legalise it as it generates a lot of revenue. Instead, the 7th schedule in the Indian Constitution gives the states the power to create their own laws regarding betting. But many experts, while welcoming the Lodha committee’s recommendation to legalise cricket betting, are more skeptical about legalisation alone being helpful to crack down on cricketing corruption. Also a recommendation for match/spot-fixing to be made a criminal offence,” the report states. It lies with individual states, something that, rather ironically, makes politics get closer to the business of sports than what is being intended by the Lodha Committee for cricket administration reforms.
But despite the debate that ensued about the legalization of sports betting as part of a larger mechanism to clamp down on matchand spot-fixing, Sibal denied that there was any plans to regulate legal sports betting. “The BCCI cannot take the call on betting.
But the question now is how does one take this recommendation forward? It isn’t the BCCI or the Supreme Court that can possibly make sports betting legal, but the law ministry of the government of India. But who can come in front and bell the cat? Can someone come in front and say he’ll do it?” says former India Test captain Bishen Singh Bedi.”
The 1996 judgement on horse racing had kept quiet on betting in other sports, thereby leaving a grey area for states. Considering that cricket, too, involves the skill of its players, there should be no real objection to legal betting on cricket. The Bill itself is yet to see the light of day. “A recommendation is made to legalise betting (with strong safeguards), except for those covered by the BCCI and IPL regulations.
NEW DELHI: Experts and people manning illegal betting outfits say the Centre can earn as much as Rs 10,000-12,000 crore (assuming 30% rate of taxation on earnings) if the recommendation by the Lodha Committee report to make betting in cricket legal is acted upon. “Take a look at England or America (where betting in sports is legal). It can help them.”
In 2013, the then Union Law Minister Kapil Sibal had stated that the draft of a Prevention of Sporting Fraud Bill had been submitted to the sports ministry, which was being considered to be introduced in Parliament. There are a lot of athletes there who play hockey, football and other sports who really require the resources to play
These games were designed with adult entertainment in mind and they are great party favorites of the past.. The player with the most money at the end of the game is the winner.
After throwing the dice, the players will lose their coins should the player throw a 7, 11, or 12. These games allowed winners to not only win the bragging rights that they beat their friends and other great players, but also allowed then to walk away from the board richer than when they came to it. If another person throws any other number he will move 2 of the coins, one per dice. In this case the opponent may put his coins in the spaces and take his turn, however if the opponent does not have enough money the game is over. In order to change the game from Tablero to Toblaro, the coins are replace with shot glasses filled with alcoholic beverages, when the money (or the glasses) are captured, the winner gets to drink it and the loser must refill the contents with his alcohol.
One such game is an old Scottish drinking game, which was converted from a gambling game called Tablero and Toblaro. Each turn moves in the same column it is in, not diagonally or across. The game was a popular game by the Spanish lower class citizens, and was eventually banned by the Pope.
If there is a row of 7 coins together, the player who is moving can pronounce that it is a “run” and then the opponent must stake two more coins and throw the dice, if he gets a 7,11, or 12 he will then lose all 9 coins. However, some games were played for gambling. The game has two dice, a checkerboard with 7 by 7 squares and 15 coins anted by each of the players. The player cannot move the same pieces more than once in a turn. Otherwise the moving player will get those two coins and keep running calling the run and rolling the dice again until he gives up the coins, or the opponent can no longer stake the money. Should the player not be able to use both dice, he loses his turn to his opponent, as both dice must be used.
The game is played starting with each of the players rolling the dice, with high tying players re-rolling the die. Some of these games were changed to include drinking, still a gambling game they were converted into games that included taking alcoholic beverages. The lowest roller plays the game first to start the game.
These games are great games for adults to play, and have introduced other games that have almost the same concepts such as bingo where the person with the right amount of chips on the numbers wins the pot and Yahtzee for money where the die tells the person what he can fill in on his card. The low roller must place 5 coins on either row 1 or row 7, with one being in each of the squares; the high roller places two coins on the same row. All of these gambling games are an exciting way to enjoy board games for adults.
After moving the coins associated with the two dice, if there are two or more coins lined up in a row, other than 1 and 7, then the player may take them off the board. In the Tablero version the game is played with coins, when converted to Toblaro it is then a game played with shot glasses. The player is limited to moving the coin toward him or away from him, by the number of rows that are indicated on the die. When they get the dice they must throw at least one time.
In the past history, people have played many board games for many reasons, some which includes camaraderie, competition and skill building, as well as family bonding
Apart from this, he also works as a consultant on gaming management, strategies, personnel and marketing. In sports betting odds, the odds are termed as MONEYLINE.The sports betting odds there are no point spread for many of the sports such as boxing, tennis etc as there occur no way to measure the points or score in which the player wins or loses by. And most of the illegal books of Nevada draw their odds from casinos. Money line in sports betting odds is decided by the event winner with no regard to the point spread as there is occurs no point spread. This field is considered as a way to make huge profits if the person is a smart bettor who has practiced proper money management. In sports betting odds, there are many things, which are illegal such as transmitting information on gambling across the state for placing, or taking bets is considered illegal. The bookies set a lot of numbers by keeping the public in mind and the person who begins to study can understand easily as to how the person can gain more and on the numbers set by the bookies. . In sports betting odds, such as football odds is becoming more vibrant each year. It is an entirely different case in sports betting odds, as about 75% of odds are established for the licensed Sports Books in Nevada as well as for Oregon State Lottery by Las Vegas Sports Consultant Inc, which is run by Michael ‘Roxy Roxborough. In such sports like boxing, the only thing that counts is who wins and who loses, and in such cases, the money line wagering enters in!
In sports betting line, money line is like point spread that is used to equal the attractiveness of the favorite and the underdog for the person betting.
Sports betting odds can be defined as the likelihood of an outcome occurring that is stated in a number form. The sports betting odds makers set the money line, as more money must be risked for the favorite or the person expected to win and very less on the underdog or the person more likely to lose, so that there occurs a balance between both sides of the contest.
In sports betting odds, the odds are made not by the common people. The main basis of the wager is the straight up outcome, which is not in to a point spread. But even then, there occur many loopholes through which people play their own gaming!
In college, also sports betting odds have taken reign even though it might be considered illegal by many
Never bet more than you can afford, and never try to chase your losses. It’s got to be coming up soon.” Hot numbers. It’s kind of silly when you think about it. “17 hasn’t been drawn in over two years. And no matter what supposed “patterns” there may be in the draws, each is completely random and independent of previous outcomes.
But what about computerized games?
One specific point I would like to end on are video slot machines and other computerized casino games.
The reason behind the falsehood of the fallacy
Saying that you’re bound to win big eventually if you play long enough is false for, really, just one reason: inanimate objects don’t have memories.
It’s quite a common, but sad, tale to hear: one of gambling addiction. I’ll get a ticket with 44.” As you hopefully understand by now, none of those statements are true. Oftentimes, the basis for this gambling addiction lies within what is known as gambler’s fallacy.
What is “gambler’s fallacy”?
Gambler’s fallacy is, essentially, the statement that a gambling victory is “due.” Most people who visit a casino, I imagine, fall victim to the fallacy. So, what are the odds of flipping heads on the next flip? 50%. Washington’s face on that quarter doesn’t have a working brain. The odds of that happening are about .09% — quite extraordinary. If you have lost $1,000,000 buying lottery tickets, not only have you wasted an ample amount of money, but you’d be foolish to think that by playing again, you’d be more likely to win. A reputable online casino (essentially, one that obeys the laws), as well as a land-based casino, is required to make each spin completely random. Casinos cannot program these machines to payout every x games, and thus, they are no exception to the lie that is gambler’s fallacy.
You see, it doesn’t matter what the previous outcomes were — it’s still 50/50. People who do not understand this logical flaw often say things like, “I’m about due for a blackjack,” “The ball has landed on red seven times in a row – it’s gotta be black next,” and the ubiquitous, “Just one more spin!”
Although casino games can provide an exciting buzz, it’s important not to be swept up by this train of thought. Many
people cannot ever enter a casino for the purpose of entertainment alone, and feel a compulsive need to win.
What are the odds of flipping tails on a two-sided coin? 50%
Let’s say you flipped the coin ten times, and each of those times it was tails. No casino secret or betting system can ever overcome this fact. Thousands of players, many who could be classed as having a gambling addiction, purchase tickets week after week, o
ften with various beliefs:The simple, “If I play long enough, I’m bound to win.” Cold numbers. So, with all of this in mind, remember to bet responsibly. “44 seems to get drawn more than any other number. Crying “one more” too many times can lead to gambling addiction.
A common example of the fallacy
Probably the most prime example of gambler’s fallacy is in the lottery.
From all this math-talk and examples, I hope you understand that, when in a casino, either an online casino or a land-based casino, each wager you make is independent of others, and having a losing streak doesn’t mean it will ever end
Due to a decision made by the Department of Justice’s Office of Legal Counsel in 2011, states now have the autonomy to choose for themselves without interference from Federal law. This is a TV channel that will soon be dedicated 24/7 to poker. In 2016, however, it is much more likely.
2.Federal Legislation Probably won’t happen
Before, online gambling was seen as being another source of revenue. Because of the delay in passing a state budget, it is still possible for a gambling bill to be passed before 2016. While three states currently have legalized online gambling industries, there are multiple other stays who are considering following suit.. This year, Poker Central was created. In addition, there are various TV shows and specials that are broadcasting poker and gambling. Also, the fact that there is significant investment pouring in shows that there is light at the end of the tunnel for the industry. Not to mention, less that four years have passed since the OLC opinion regarding the Wire Act allowed individual states the chance to consider passing online gambling bills. Adelson’s online gambling ban, called “RAWA,” was effectively disabled. Online gambling can be used in a variety of different ways, as casinos are quickly realizing. At that time, there were in fact three states who chose to allow gambling. Now this is not the case. It is unlikely that it will be revisited. Since then, however, online gambling in the United States came to an abrupt stop. There have been many advocates for anti-gambling agendas, including Sheldon Adelson. Both New Jersey and Delaware had expedited bills. Blackjack and other gambling games have been a large part of our society, yet their presence online is in question. All 50 states have currently refrained from passing a bill to legalize online gambling, poker, or other casino games. The idea is that if Pennsylania were to permit online gambling down the road then other states would follow as well. The bottom line is that this will take some time. This is the newest development of states that look to pass a bill on online gambling. Here a few things to keep in mind when thinking about the future of online gambling.
While it might seem very slow, gambling has seen an increase in users in the US. In fact, Nevada had already been preparing an online gambling bill prior to the opinion. Including California, these four states represent the forefront of the pro-online-gambling movement in the US. Most state legislatures have only recently considered online gambling to be an issue. Many people are radically opposed to it, claiming that the game can cause the loss of thousand or millions of dollars and ruin lives. Because of this, state will have to spend lots of time getting their lawyers in the loop and updated on the ongoing issues, and will take time to craft the proposal bill and explain the pros and cons. Whether you are for online gambling or opposed to it, the notion that Congress would realistically unite and pass a vote is not probable. Online gambling presents a very controversial issue in the United States. One thing that many people haven’t considered is Pennsylvania. Delaware, Nevada, and New Jersey all brought gambling to our browser. Politicians often have strong opinions on online gambling. These sources of media are helping to build the hype. Federal legislation will most likely not play a big role. On the other hand, many people believe that individuals have the right to choose whether or not they want to gamble, and it is not up to the government to decide. One way or another, there will be changes in 2016. People are learning new ways to utilize online gambling beyond merely direct revenue. In that case, a state might not launch an online gambling business until 2017 or 2020.
1.Online Gambling is Inevitable
It was only two years ago that a few states launched major online gambling sites. If Pennsylvania cannot pass an online gambling bill then the tides may change. It’s not soon, but it’s happening. Despite this situation, there are many reasons indicating that online gambling could become legal in the United States. The way that it has been panning out, there will be multiple state the pass an online gambling bill prior to 2020. Congress has been urging the Federal government to back them up in continuing the ban, and to get the Restoration of America’s Wire Act bill passed. If the states pass a bill to legalize gambling, then we can get back online and improve our poker skills
But let’s say I have a bad losing streak and end up down more than $1,000. This year, it is on pace to welcome a record 40 million visitors. Legalized sports betting would elevate these now somewhat esoteric notions into the mainstream conversation about sports. There are no credit checks or margin calls until it is time for me to pay. Maybe more so.
I see the same trend happening if sports betting gets legalized in the U.S. “But for the FBI knocking on our door and notifying us about Donaghy’s betting, none of the systems that we then had in place had captured any betting by Tim Donaghy.”
In addition, game fixing would be easier in a world where fewer people track or are even aware of things like point spreads and over/under bets. In addition, asking for a percentage based on the overall handle (total amount wagered) will cut into the margin of the sports books too significantly.
And I have heard some mention licensing fees for data, but haven’t we already covered that in lawsuits against both the NBA and Major League Baseball Advanced Media (MLBAM)? In both cases, statistics and data were ruled to be public, not a private asset for which the leagues could charge a license fee.
In the most relevant case, CBC, the parent company of CDM Sports, a fantasy provider, sued MLBAM after being denied a new fantasy sports license. 5: It will create greater risk for game fixing
This is the easiest myth to dispel. There are going to be a lot of hands in the cookie jar. Illegal sports betting has some characteristics that can lead to problem gambling more than legal betting would.
Here’s an example. Illegal gambling is one of the factors that’s associated with gambling addiction,” Keith S. The U.S. If it’s legalized, there will be huge changes, but some assumptions are simply off.
. Vegas has had to reinvent itself as a place that is about more than just gambling. This is the type of financial recklessness associated with problem gambling.
Furthermore, once sports betting becomes legal the negative stigma behind it will eventually disappear, which will make it a bit easier for problem gamblers to ask for help. U.S. The two biggest reasons people bet with bookies (beyond the lack of alternatives) are the convenience and the line of credit. In addition, customers are far more inclined to place a wager when they don’t have to put any money down.
Those betting with bookies have predetermined settlement terms. In the latter case, I set up a credit arrangement with Illegal Book B and we agree that I will pay every time I go over $1,000. This is not how most bookies work. (It’s common for bookies to offer rebates to their big customers.) This will be difficult for legal bookmakers to compete with.
Myth No. Those who believe that legalized sports betting will lead to more risk of game fixing simply don’t understand why games are fixed. Yes, trademark images and logos would be a different story, so I could see the leagues getting marketing deals, but I don’t see that as a huge windfall for the leagues.
Mr. Purdum, an expert on the subject, has been vocal in his belief that online sports gambling will need to be a big part of the new legalization plan, and I share his belief, as betting on a phone and computer is simply much more convenient than driving to a brick-and-mortar sports book and making a wager. Many bookies will allow me to get more credit and continue to gamble. If something shady were to occur in a game around a betting proposition, raised awareness by the public about gambling in general would help highlight any improprieties before, during and after the match.
Myth No. 2: It will create more “problem gamblers”
I understand the argument that legalized sports betting could expose more people to gambling and the increased ease and access will create more problem gamblers, but I simply don’t buy it. Say I set up an account with Legal Sportsbook A. I am concerned that the overall pie, even with online gambling, may not be large enough for the leagues to make the money they are hoping for.
The real value for them will be potential marketing dollars and increased fan engagement, not licensing fees for data or direct revenue from wagering.
There are a lot of unanswered questions regarding legalization of sports gambling in the U.S., and it will be fascinating to watch how it unfolds in the next few years. Sen. Concerts, shows, high-end nightclubs and restaurants draw people to Vegas as much as the gambling does. 4: It will damage the sports betting business in Las Vegas
The thought process here is that with legalized sports betting available locally, there will be less interest in making the trek to Sin City to wager on sports. John McCain (R-Ariz.) also recently said that Congress needs to hold hearings to discuss legalizing sports betting.
While it seems that the question of legalizing sports betting presently is more of an if than a when, there remains a great deal of uncertainty regarding what it would look like. First off, the government will only legalize if it is going to get significant revenue. It’s a pretty reasonable assumption that it’s easier to fix a game in an environment where most of the money wagered is impossible to discover or track by the government. In order to grow the pie large enough, these conveniences must be provided to gamblers. bookmaking powerhouse William Hill has already set up an operation in New Jersey, and MGM CEO Jim Murren has said his company is interested in expansion.
At any rate, I really don’t see legalized sports betting in other states having a big impact on the sports betting business in Vegas.
Myth No. When I lose this money, it’s gone, and I can’t bet until I put more money on deposit. “The Donaghy controversy also made me aware how important it is that we have a way of monitoring irregular activity on our games,” Silver said. However, there are certainly some myths that I believe can be dispelled.
Here are the top five myths about legalizing sports betting and why they’re wrong:
Myth No. District Court Judge Mary Ann Medler ruled in favor of CBC, stating that “statistics are part of the public domain and can be used at no cost by fantasy companies.” One would infer that the same would apply to legal bookmaking operations.
Once games happen, the stats are public domain. How will it be regulated? How involved will the government be? Will it be federal enforcement or on a state level?
Until many of these questions are answered, it will be difficult to draw any hard conclusions about the ramifications of legalized sports gambling in the U.S. Since sports gambling is currently something that happens in the shadows, problem gamblers are likely to hide in that shadow until it is too late.
The National Council on Problem Gamblers has found that problem gamblers are most often involved in illegal gambling, so moving toward a model where more gamblers are doing it legally can only help.
“One of the things that makes sports betting so interesting is that it is probably by far the most widely participated in form of illegal gambling. The experience of going to Vegas is becoming less and less about putting down a sports bet and more and more about the experience of everything else. operation for the U.K. In the past two decades, although total revenue has risen, percentage of revenue from gambling has decreased from close to 60 percent to last year’s 38 percent. This mirrors a similar concern that some had 25 years ago when Indian and commercial casinos began sprouting up all over the U.S.
In that time span, we all know that Vegas has flourished. Are fewer people gambling because they can do it in their home state?
My answer is a solid maybe. 1: It will result in large revenue for the leagues
When I think about the best way to legalize sports gambling from a logistical standpoint, I get a headache. Whyte, executive director of the NCPG, told my ESPN colleague David Purdum.
Myth No. In fact, there’s an argument that exposing more people to sports gambling in their native states will make the general concept of sports gambling more approachable, ultimately leading to a larger overall percentage of sports fans-turned-gamblers.
Las Vegas sports book operators are already looking to expand to other states. Some are based on a time frame, while others are based on going over agreed-upon limits.
Silver echoed this sentiment when discussing his personal revelation in an exclusive interview with ESPN. These days, most bookies provide both a phone number and website where bets can be made. The topic of federal legalization of sports betting has been brought up before, but it has gained steam since Adam Silver’s November New York Times op-ed and after Silver’s cover story in ESPN The Magazine’s Gambling Issue. I will likely have to put money on deposit to do so. This credit relationship will be hard for many gamblers to give up.
Since bookies will not have to pay taxes or licensing fees, they will be able to offer better margins or incentives to their customers. 3: It will put local illegal bookies out of business
Those who believe this simply don’t understand how sports betting with a bookie works. Second, operators will need to run a cost-effective business, which may prove difficult if there are a lot of other hands to feed besides the government.
There is simply no way the leagues could ask for a percentage piece of gambling revenue, as this would result in a huge conflict of interest
(8) For example: http://fairplayers.com/en/magazine/ hot_news_fairplayers_11.html.
Increase of gambling addiction
New entry from bookmakers
Since the beginning of sports betting, there have been many examples of bettors trying to influence sporting events to secure a favorable outcome. A first move was made by Betfair, which managed to acquire a license to enter the strictly regulated Australian betting market in the beginning of 2006. The liberalization of the European betting market would offer a great growth opportunity for the entire betting industry, including the betting exchanges. A. (23) During the U.S. presidential elections of 2008 neither presidential candidate showed an interest in repealing the Act, and in November 2008 the Federal Reserve Board and Department of the Treasury announced the release of a final joint rule, forcing U.S. Fixed odds sports betting. The Unlawfull Internet Gambling Enforcement Act has effectively created a protected market for Matchbook. (2007). The betting exchange does not need to hire a specialist to determine the odds on the probabilities of any of the parties winning, and adjust odds if necessary, but the betting exchange, as Davies et al. Retrieved October 4, 2006, from http://184.108.40.206/NewOrleans/Papers/5701876.pdf
Griffiths, M. Management Research News, 27(1/2), 95-103.
(15) For example: http://forum.betfair.com/
(24) Source: http://www.casinoonline.co.uk/articles/ us-presidential-elections-race-gambling
(2) Source: http://www.queensawards.org.uk
(11) Source: http://www.eubusiness.com/Competition/1182952802.06/
Lower transaction cost
It seems likely, due to reasons of liquidity, the future will only have room for a very limited number of betting exchanges. The odds were taken from the Match Winner-market, with three possible outcomes: home win, draw, and away win. According to gambling-review website Bookmakersreview.com in August 2007 there were 31 different online betting exchanges in business. Retrieved January 11, 2003, from http://cjonline.com/stories/110103/bus_betting.shtml
(27) Source: http://www.businessworld.ie/livenews.htm?a=1613598
This paper investigates the situation betting exchanges are currently facing, both as a sector, as well as on an individual level.
Many innovations are focused on trying to simulate the environment of the old-fashioned brick-and-mortar betting shop, which to many was (and still is) a social meeting point, but also offered live television coverage of many sporting events. Harpenden, UK: High Stakes.
The previous two threats have shown traditional bookmakers have so far challenged the betting exchanges to both a legislative battle, and by developing a new business model focused on increasing payout. However, bookmakers have not yet challenged the betting exchanges ’heads on.’ The future might be different though. M. Although a betting exchange can in theory offer a payout of 100 percent to its customers, commissions on winnings (especially if these commissions amount to as much as five percent) will make it likely the betting exchange in practice will not be able to offer better odds than the discount-bookmaker. Most of these exchanges are based in Europe, either in the United Kingdom or Ireland, or in tax-friendly locations like Gibraltar or Malta. It writes in its annual review of 2006 “a series of ‘MoUs’ (Memorandum of Understanding) have been signed with sports bodies over the year.” These Memorandums, which Betfair has signed with among others, the Jockey Club (horseracing), the ICC (cricket), the FIFA (soccer), and the ATP (tennis), include Betfair reporting suspicious betting patterns to the relevant sports governing bodies, thereby making an investigation into match fixing possible (which has already led to several suspensions and lawsuits). Asian and Australian bettors also seem to be betting more money per person. For example, some betting exchanges have, in cooperation with mobile phone companies, recently started offering customers the possibility to bet by making use of their mobile phone. (14)
Although the European Commission is quick to emphasize in press releases this investigation as such has no implications for the liberalization of the sports betting market, it does seem to be a small step in that direction. These findings differ significantly from the rest of the world. The propensity to bet in the United States amounted to 1.0%, in the United Kingdom to 0.9% and in the rest of Europe to ‘only’ 0.4%.
Sports and betting have always been strongly connected. Given the very dominant position of Betfair, it seems unlikely the much smaller betting exchanges copying Betfair’s business model will succeed, since it is impossible for them to match the liquidity Betfair’s customers are used to. Betting exchanges that are successful in finding niches around Betfair, for example, by charging significantly lower commission to make up for the loss of liquidity, or focusing on different sports altogether, seem to have a better long term possibilities for survival.
Dahlman, C. Therefore they claim only they should be obliged to acquire a license and pay taxes on their winnings, not their customers.
 University of Groningen
The suspicion of match fixing is of course particularly damaging to the public image of the betting exchange. We will argue that liquidity is a prime determinant of long-term success.
Better odds/higher average pay-out to customers
Davies et al. itself, it hasn’t stopped the possibility to bet with betting exchanges on sporting events taking place on American soil. (10) While most of these investigations are still under way, some of the member states have already been threatened in 2007 by the European Commission they will have to face legal action before the European Court of Justice if they do not change their gambling laws in the very near future. Especially Asia offers huge growth potential, if simply because of the enormous size (and growth) of the population. (2005, January 9). P. Pinnacle, as well as a number of Asian-based bookmakers with a similar business model, and can best be described as a ‘discount-bookmaker’ since the company has managed to offer extremely competitive odds on almost every sport. Metcalfe’s Law predicts that network value is proportional to the size of the network, and that individual user’s utility is a linear function to network size (Swann, 2002). It is likely this will remain to be the case for as long as American citizens are not allowed to bet using these betting exchanges.
Pitt, L., Watson, R., & Shapiro, D. NMA Magazine.
Stix, G. The betting exchange, for obvious reasons, does not much care whether a customer actually wins or loses; the more money any customer bets, the better. Laffey (2005) writes “this neutral position enables the P2P websites [the betting exchanges] to offer stakes only limited by market liquidity, and to promise not to ban successful punters, something bookmakers would reserve the right to do.” Laffey adds “[the betting exchanges] were drawing in the ‘high rollers’, those prepared to stake enormous sums, who bookmakers would often refuse to take bets from.” Of course, as Laffey emphasizes, also in the betting exchange bettors might not always be able to bet the amount of money they want to stake; not because the betting exchange will limit them, but because it is possible there is simply just not enough liquidity available at the betting exchange to match larger bets at the requested odds.
Following the footsteps of Betfair dozens of new entrepreneurialonline betting exchanges have seen the light, especially of aScandinavian (e.g., http://www.betsson. 2004 Financial Management Association International Annual Meeting. This is why Mainelli and Dibb estimate it’s “extremely likely” traditional bookmakers will in the future open their own betting exchange. Rather than trying to copy the Betfair business model, it also seems likely individual betting exchanges that will survive in the long term are the ones who will actually succeed in being different.
Wood, G. Options, short sales and market completeness. (2003, October 18). Like betting exchanges, Pinnacle uses the argument of better odds as its main selling point to attract new customers, advertising on their website with slogans like “we take on the high margin operators” and “Pinnacle is where the pros play.” (26)
The rise of the betting exchanges has not gone unnoticed by their main competitors, the bookmakers. Study of gambling services in the internal market of the European Union. He is currently self-employed and betting on sports professionally.
Figure 1: Screenshot from http://www.betfair.com, 24-08-2007 15:00h. Man Utd v Tottenham Change: Express view | Full view Matched: EUR 206,072 Refresh Selections: (3) 100.4% Back Man Utd 1.56 1.57 1.58 765 [euro] 17998 [euro] 4524 [euro] Tottenham 6.8 7 7.2 419 [euro] 309 [euro] 108 [euro] The Draw 4.1 4.2 4.3 291 [euro] 1012 [euro] 722 [euro] Selections: (3) Lay 99.1% Man Utd 1.59 1.6 1.61 806 [euro] 11320 [euro] 6816 [euro] Tottenham 734 7.6 7.8 91 [euro] 232 [euro] 599 [euro] The Draw 4.4 4.5 4.6 680 [euro] 501 [euro] 1227 [euro] Figure 2: SWOT-analysis of the betting exchange Strengths: Weaknesses: –Better odds –Effects of Metcalfe’s Law –Less operational risk –Bettors’ aversion to risk –Lower transaction costs –Increase of market completeness –Winning customers welcome Opportunities: Threats: –Less restrictive betting –More restrictive betting legislation (Europe) legislation (United States) –New markets (Asia / Australia) –Political lobby by bookmakers (UK) –Technological progress –“Discount” bookmakers –Expansion to related sectors –New entry from bookmakers –Migration of technology to –Match fixing unrelated sectors –Increase of gambling addiction Figure 5: Individual analysis of 20 major betting exchanges (“Y” = “Yes”, “N” = “No”) Reliability Legal Name Commission (2) (3) (4) (5) BetandGame 4.25% N N Y N (closed per February 2008) Betbull (*) 2.5% – 5.0% Y Y N N Betcruise 0% (**) N N N N Betdaq 2.0% – 5.0% N Y N N Betfair 2.0% – 5.0% Y Y Y N Betmate (*) 2.0% – 3.0% Y Y N N BetonBet 1.5% – 3.0% N N Y N Betsson 4.0% Y Y Y N EHorseX 1.75% – 5.0% N N Y Y IBetX 1.0% – 3.0% N Y Y N Intrade $0.00 – 0.15 / N N Y Y lot (***) Live-betting 5.00% N N Y N per payout Mansion 0.0% – 1.0% N N Y N (closed per October 2007) Matchbook 2.0% N Y Y Y MatchMyWager 1.5% – 4.0% N N Y N (closed per April 2008) MyBet 5.0% Y Y Y N Redbet 4.0% Y N Y N Supporterbet 3.0% – 5.0% N Y Y N TradeBetX / 4.0% N N Y Y Tradesports (closed per November 2008) Winitoo 4.0% N N Y N WorldBet- 0.9% – 5.0% N Y Y N Exchange Product offering Name (6) (7) BetandGame N Y Limited selection of (closed per major world sports; February 2008) Betbull (*) Y N Selection of major world sports; wide selection of major and minor soccer leagues; Betcruise N Y Limited selection of major world sports; Betdaq Y N Selection of major world sports; wide selection of major and minor soccer leagues; Betfair Y Y Wide selection of major and minor world sports; wide selection of major and minor soccer leagues; Betmate (*) Y Y Selection of major world sports; wide selection of major and minor soccer leagues; BetonBet Y Y Limited selection of major world sports; selection of major and minor soccer leagues; Betsson Y Y Selection of major world sports, as well as minor European sports; major and minor soccer leagues; EHorseX N N Limited selection of American sports; focus on American horse-racing; IBetX Y N Limited selection of major world sports; Intrade Y N Selection of non-sports political, financial and current events; Live-betting Y N Limited selection of major world sports; Mansion N Y Limited selection of (closed per major world sports; October 2007) selection of major and minor soccer leagues; Matchbook Y N Limited selection of major world sports; focus on North-American sports; MatchMyWager Y Y Limited selection of (closed per major world sports; April 2008) selection of major and minor soccer leagues; MyBet N N Selection of major world sports; Redbet N Y Very limited selection major world sports; selection of major and minor soccer leagues; Supporterbet N N Selection of exclusively soccer; TradeBetX / Y N Selection of major world Tradesports sports; focus on North- (closed per American sports; November 2008) Winitoo N N Very limited selection of major world sports; selection of major soccer leagues and regional soccer; WorldBet- Y N Selection of major world Exchange sports; selection of major soccer leagues; (*) Company operates as a “skin” of an established betting exchange; (**) Reduced commission is part of a promotional launching campaign; (**) Commission is calculated including both trading fee and expiry fee; (1) Percentage of commission charged by exchange on net winnings; Promotional offers not included; (2) Exchange is (part of) a publicly traded company, and/or is disclosing full financial information, and therefore giving customers insight into its financial “track-record”; (3) Exchange claims to hold and manage customers’ funds in a segregated account, to ensure customers’ funds remains separated from company funds (if unclear, listed as “No”); (4) Exchange is currently accepting customers from all nine European member states, whose gambling policy is currently under investigation by the European Commission; (5) Exchange is currently accepting customers from the United States; (6) Exchange offers its customers the possibility of live-betting; (7) Exchange offers its customers a complete one-stop betting portal, consisting of at least a casino and a poker platform;
(29) Source: http://news.bbc.co.uk/sport2/low/football/europe/ 5215260.stm
Nevertheless, Matchbook seems to be an exception. (2004). Betting on the exchanges: Changing customer relationships in the sports betting market in the UK. Entrepreneurship and innovation in the UK: Betting industry: The rise of person-to-person betting. For that reason some agencies start operating their own future predicting betting market to be able to more accurately predict a certain future event. customers. In the betting industry the success of a bookmaker has always been dependent on its ability to build a reliable track record. The International Herald Tribune Online.
As can be seen in Figure 5 most betting exchanges are privately held and do not disclose financial information. (3) Whether this claim is accurate has been the subject of our own study, which took place in 2006. An example of an expansion into sports betting-related products is the offering of live-betting. (2006) the popularity of gambling through the internet is becoming more and more of an issue for concern regarding problematic gambling behavior. (2003, July 17). Journal of Economic Literature, 26, 2021-2064.
Griffiths, M., Parke, A., Wood, R., & Parke, J. A gambler’s broker. (15) Also, betting exchange Betfair has recently started an experiment offering customers free live-stream coverage of football and tennis matches through its website. (11)
In this paper the SWOT-analysis of the betting exchange has been performed by doing a literature study, including both academic studies and recent news articles about gambling in general and the betting exchange in particular. Mainelli and Dibb (2004) predict “a future with exchange(s) at the centre as mechanism for price formation.” As the concept of the betting exchange will become more and more familiar to the big public and will keep on growing in size at the expense of the bookmakers, it is not hard to imagine this will attract outside interest. CyberPsychology & Behavior, 6(6), 557-568.
Hoare, S. (9) The European Commission seems to have taken these complaints seriously and has recently been investigating national gambling legislation in no less than nine different EU member states. (2004) writes about the betting exchange “the odds on offer are generally much more competitive.” Griffiths (2005) confirms this statement, “they [the betting exchanges] provide excellent value for the gambler. The company has grown astronomically to become the largest online betting company in the United Kingdom, and has been widely recognized as one of the more successful entrepreneurial innovations of recent times, being awarded the British Ernst & Young Emerging Entrepreneur of the Year Award in 2002.1 Also, in 2003 Betfair won the British Queen’s Award for Enterprise, in the category Innovation. Bettors’ aversion to risk
Less operational risk
According to an article by Griffiths et al. In fact, some sports derive their very existence from the popularity of its associated betting market (e.g., horse racing). European Commission.
To overcome the effects of Metcalfe’s Law new betting exchanges often try to ‘seed’ their own markets; in other words, to start making attractive offers themselves (and in the process sacrificing the previously mentioned strength of less operational risk). Betting exchange Sporting Options even went bankrupt, partly because of the losses incurred in seeding its own markets. In combination with a commission rate of the standard five percent, these exchanges are in effect offering customers very little (if not nothing) Betfair is not already offering with much better liquidity. The tool of a SWOT-analysis is not new, of course, but this particular application is. Communication of the Association for Information Systems, 15, 149-161.
Winning customers welcome
(22) Source: http://www.antiguawto.com/index.html
Shaker, P. (2004). There is no […] bookmakers’ mark-up on odds.” A study by Ozgit (2005) that compares the returns of Betfair to the return of two bookmakers also showed considerably higher returns, although the sample chosen by Ozgit in his study was admittedly limited.
(16) For example: http://livevideo.betfair.com/
After reviewing the business climate for the betting exchange sector as a sector, in the this section the major betting exchanges worldwide will be identified individually and compared on a number of characteristics. By offering customers a one-stop shop for all of their gambling needs, exchanges hope to profit from the growth in other gambling sectors; for example, the enormous growth of online poker. J. […] Nobody will be able to beat Betfair unless the management makes a massive mistake.” (32)
Nevertheless, it’s important to emphasize while the Act has blocked a large part of gambling-related financial transactions in the U.S. (12) These results are in line with findings of the OECD, The Economist Intelligence Unit, and Merrill Lynch, who have performed research into the propensity to gamble as a percentage of consumer spending. It’s a land grab right now.”
Ruud H. As Pitt et al. (2005) puts it,”even with a valid betting slip, the bookmaker is not obliged to honour a winning bet.” Mainelli and Dibb (2004) conclude that in the absence of legal enforceability, the concept of trust is essential in the betting industry.
(32) Source: http://quote.bloomberg.com/apps/news?pid=nifea&& sid=a8Y11XQeIcyY
According to Dahlman, this factor only exists as a consequence of ”imperfect information about the existence and location of trading opportunities or about the quality or other characteristics of items available for trade.” In sports betting traditional bookmakers also incur search and information costs. The exchange should, because of the effects of Metcalfe’s Law, have a very hard time achieving a scale large enough to become profitable, especially when the competition has already been more successful in the past. Counterparty risk seems to be non-negligible and bettors take that into account. Figure 4 shows the home-countries of 21 of the major betting exchanges.
These kind of stories are obviously particularly bad for the image of the betting exchange and could induce risk averse behavior from bettors. (8) Betting companies have argued that in many cases national legislation is in contradiction to policy of the European Union (EU) regarding free movement of services, as well as the goal of the EU to create one single European market.
A betting exchange and a discount bookmaker have a lot in common, and are very much targeting the same kind of bettor, although both are operating in entirely different ways. (2005) Metcalfe’s Law, a law related to the concept of network externalities, is an important factor to explain the success or failure of a certain betting exchange. According to Mark Blandford, founder of online-bookmaker Sportingbet, the average bet size of their Australian and Asian customers in 2003 reached an impressive 226 per bet. & Strickland III, A. (2004, December). The bookie puzzle: Auction versus dealer markets in online sports betting. In the earlier intervals, when the match is still a relatively long time away from kicking off, payout varies from betting exchange to betting exchange and in some cases is below maximum, and even below average payout offered by bookmakers. Therefore, betting exchanges are searching for ways to encourage the customer to interact with other customers during the betting process, for example, through internet forums. In live-betting it is possible for bettors to not only place their bets at the exchange before a game starts, but also during the game as the match is being played. Koning  and Bart van Velzen
Currently, only three betting exchanges, Matchbook, EHorseX, and Intrade, still accept American customers, but will constantly need to keep thinking of (legitimate) ways to being able to accept deposits and process withdrawals from and to American customers. For example, Owen Byrne of the Jockey Club commented on this issue “there is a threat to the integrity of racing” (Stanley, 2003). (2006). (13) As Betfair’s co-founder Andrew Black told the newspaper Scotland on Sunday in 2005: ”Geography is an absolute priority. Science News, 164(16), 251-253.
A British parliamentary commission investigated this issue in 2004 and overthrew the argument of the betting exchanges in their report. They advised the government to start considering bettors that lay a bet at a betting exchange as a bookmaker and therefore to subject them to the same rules. (2004). Only in the last couple of years several big betting scandals have been discovered, reaching up to the very highest level of professional sports, for example, in horse-racing, soccer, and recently possible match-fixing in tennis. (2002). Journal of Law and Economics, 22(1), 141-162.
(17) Source: http://www.betfaircorporate.com/pdf/2006_10_16_casino.pdf
Bart van Velzen obtained a master’s degree in economics from the University of Groningen in 2007. This has led to intensive competition between not only theexchanges themselves, but also between the exchanges and the traditionalbookmakers, whose market shares are increasingly under pressure.
In this paper we provide a SWOT-analysis of betting exchanges. Besides Matchbook, that specializes almost exclusively in offering markets in U.S. However, any measures taken by member states must be necessary, proportionate, and non-discriminatory. According to a study ordered by the European Commission and published in 2006, members states that restrict sports betting must have a ”desire to bring about a genuine diminution of gambling opportunities.”
(18) Source: http://www.usatoday.com/news/washington/ 2006-10-02-internet-gambling-usat_x.htm
In his article Griffiths made a list of recommendations for Internet gambling service providers to act ‘socially responsible,’ which have been for a large part picked up by both online bookmakers and betting exchanges. D. It also shows, however, that the betting exchange is very dependent on customers providing liquidity to succeed, since due to the effects of Metcalfe’s Law a lack of liquidity will make it almost impossible for an exchange to attract new customers, and therefore to survive.
(14) For example: http://www.betbull.com/HelpCentre/help_centre.htm# mobile_site.htm
For now, Australia and especially Asia are pretty much unexplored territory for betting exchanges. For example, the Dutch newspaper De Volkskrant started an exchange during the Dutch elections of 2006, by using technology of American exchange solutions supplier Newsfutures.com, to help predict which party would win the elections. Also, betting exchange Intrade has focused exclusively on offering its customers prediction markets on current events.
The success of Betfair has left other betting exchanges fighting for tiny marketshares. While some betting exchanges, including Betfair, did not accept American customers even before the Act was introduced because of unclear legislation, others, like Mansion, had to turn down a large part of their clientele because of the Act. In economical terms, it is therefore safe to say betting exchanges have increased market completeness. Only if the offer is matched by another user, the bet has ‘action.’ An example of a typical market is shown in Figure 1.
Sauer, R. (2005). Betfair.com: Five technology forces revolutionize worldwide wagering. European Management Journal, 23(5), 533-541.
Institut Suisse de droit compare. Griffiths also suggests the concept of electronic money will likely not be perceived to have the same value as real cash, which could cause the bettor to risk more money than he would have done in the offline world.
Firstly, the sector-analysis is performed by making use of a SWOT. The analysis shows the betting exchange has a number of unique strengths over the “traditional” bookmaker, like, for example, the ability to offer better odds to customers. AVG”),and the maximum payout offered by any of the bookmakers (“Bookm.HIGH”). Musumeci and Peterson calculated that a bettor betting on an event with two equally probable outcomes would need to win 52.4% of his bets to break even with a typical bookmaker, while a winning rate of “only” 51.2% would suffice to break even while betting with Pinnacle. Any other betting company is restricted from offering betting services to the citizens of that country, and risks legal action if the company does not comply with national regulations. Similar to the model of a stock exchange, the user can buy (‘back’) or sell (‘lay’) bets at the price (‘odds’) he or she wants. A, Paton, D., & Vaughan Williams, L. Traditionally, betting markets have been cleared by bookmakers, who accept (or not) the bets on a certain event. Another betting exchange, Matchbook, does appear to have been successful in creating a unique selling point. America’s bad bet: How the unlawful Internet Gambling Enforcement Act of 2006 will hurt the house. Issues like competitiveness and survival of betting exchanges are addressed. Koning is a professor in the Department of Economics & Econometrics. (29)
Griffiths, M. (2008). Betfair was launched in June 2000 by Andrew Black, a professional gambler, and Ed Wray, former vice-president of JP Morgan. Because the Gambling Enforcement Act, that came as a big surprise to the betting industry, makes it almost impossible for bettors to deposit or withdraw winnings from their betting accounts, industry experts believe the Act could mean the end of most of the off-shore online American betting industry. To the dismay of the bookmakers’ lobby, at that time the British government decided to ignore the advice of the commission, because of practical problems implementing the proposed measures. When markets beat the polls. According to Musumeci and Peterson (2004), who performed a study on betting on American football with two possible outcomes, most (American) bookmakers tend to offer their customers payout books of 0.955 in these markets. Youth Gambling International Newsletter.
Whereas online betting companies have previously targeted Europe and the United States as their primary sales region, Asia and, to a lesser extent, Australia, seem to have been overlooked up until recently. Betting on the future: Online gambling goes mainstream financial. However, this is not the only reason. (2005) write, “experts today generally agree that Moore’s Law will continue to govern the industry for another fifteen years, at least.” As processing power continues to grow, new innovations will be made possible. Therefore, according to Davies et al. (2005),”Betfair has no interest in the outcome of any event it makes available.” Unlike the bookmaker, the betting exchange typically does not take any trading position and consequently makes money regardless of the outcome of the event. Laffey (2005) writes “its [the betting exchange] main innovation was that it allowed users to set their own fixed odds against an outcome […] something which had previously been the preserve of bookmakers.” According to Davies et al. For this reason Mansion decided to terminate its exchange business altogether in October 2007. Department of Economics, UCLA.
(4) In 2007 betting exchange Parbet was renamed to MatchMyWager, before closing down in April 2008.
Furthermore, the analysis showed a number of interesting future growth opportunities; for example, the possibility to expand the product offering with other gambling related products, but also identified a number of factors that seriously threaten the position of the betting exchange, like entry to the market by much larger online bookmakers. Furthermore, it is worrisome several very important opportunities and threats that were identified the betting exchange itself has little control over, since these are of a legislative nature, like, for example, the gambling laws in both the United States and the EU member states.
(30) Source: http://www.smh.com.au/news/business/ betfair-out-to-conquer-the-world/2006/02/05/1139074110158.html
It is clear Betfair’s competitors will have to come up with something special to be able to survive in the long term. As Martin Oelbermann, a director of German research-firm MECN, told press agency Bloomberg in 2005, “You can’t beat the first-mover advantage. In the past prediction markets have proved to predict future events better than traditional opinion polls. The Iowa Electronic Markets have been successful in predicting outcomes of American presidential elections and are more accurate than ’regular’ polls (Stix, 2008). Also, we compare the most important players in the market. (16)
Davies, M., Pitt, L., Shapiro, D., & Watson, R. (20)
(5) The results of the complete study is available upon request.
Klarreich, E. Different forms of betting markets are discussed extensively by Sauer (1998) and Buchdahl (2003).
Most authors agree the most important strength of the betting exchange is they offer customers better odds than the online bookmaker. Jones et al. Online exchange rocks sports betting. By expanding the offering to customers, the betting exchange hopes to not only increase the total number of customers, but also to increase the spendings per customer.
The EU has repeatedly stated it does allow member states to restrict the access of sports betting operators on a national level, but only to maintain public order (e.g., to prevent fraud), to protect consumers (e.g., to prevent gambling addiction), and to ensure maintenance of the social order. In the start-up stages of a new betting exchange, the number of customers may be limited, and as a result the number of offers will also be relatively small. (2003). As Davies et al. In short, the betting exchange has opened up a whole new range of betting strategies for the bettor, which were not possible while betting with a bookmaker. (2002). J. Recently betting companies, both betting exchanges and bookmakers, have filed complaints with the European Commission to overturn these national laws. Retrieved March 25, 2004, from http://www.publications.parliament.uk/
(1) Source: http://www.ey.com/global/content.nsf/UK/EOY_-_Awards_Recipients
(25) Source: http://www.federalreserve.gov/newsevents/press/bcreg/ 20081112b.htm
More restrictive betting legislation (USA)
Betting companies complain this desire from national governments is clearly lacking, as state betting operators often even encourage gambling by making use of aggressive advertising campaigns. Laffey (2005) writes ”in facilitating betting as a neutral intermediary the website [of the betting exchange] does not take on the risk function of the bookmaker and generates revenue by taking a commission from the winner.” As long as bettors make use of an exchange, bettors will pay commission to that exchange, and the exchange is guaranteed to earn a steady flow of income.
In Figure 5 these betting exchanges have been compared on a number of important characteristics, with regards to commission charged on winnings, reliability, legal issues, and product offering.
Ruud H. Moore’s Law, an observation that dictates that the speed of microprocessors, at a constant cost, doubles every 18 to 24 months, predicts this trend will continue in the future. Most authors doubt whether these exchanges will be able to take market-share from Betfair in the near future: Mainelli and Dibb (2004) point out that even if the competition of Betfair would succeed in offering better service or value, “the propositions needs to be a great deal better to compensate users for the loss of liquidity.”
A SWOT-analysis, which identifies the Strengths, Weaknesses, Opportunities, and Threats, is an often-used tool of situation analysis, and can be used to determine whether a firm’s business position (or in this case, a sector’s business position) is fundamentally healthy or unhealthy (Thompson III & Strickland, Jr., 2001).
Stanley, B. According to Davies et al. According to Davies et al. ”traditional bookmakers need to be well informed (studying horse racing and sporting events carefully) in order to make odds, and need to monitor market changes constantly in order to avoid being taken advantage of, or of being over-exposed.”
Since the betting exchanges have not been around for long, unlike some of the online bookmakers who have a long history of offline bookmaking behind them, the possibilities for building a decent track record have been limited. In the United Kingdom bookmakers need to apply for a (costly) license to operate legally, and also pay 15 percent tax on their winnings. Internet gambling: Issues, concerns and recommendations. Pinnacle manages to offer it customers payout books of 0.976. Market efficiency in person-to-person betting. In an earlier publication Griffiths (2003) already pointed out why gambling through the internet could lead to a rise in gambling addiction. The economics of wagering markets. Online betting exchanges: A brief overview. Most bookmakers will soon limit their maximum stakes for this particular kind of customer and he will therefore typically only be able to bet small amounts. (2005) argue an important strength of the betting exchange consists of the fact the betting exchange considerably reduces transaction costs in comparison to the bookmaker. It’s therefore essential for the betting exchanges to gain the trust of the bettors. The most important arguments made by Griffiths include the fact the internet makes gambling much more convenient than betting in the casino (the bettor does not even have to leave the comfort of his own home), the much higher event frequency of gambling opportunities on the internet, and the asocial and anonymous character of internet gambling. Economists explore betting markets as prediction tools. com), British (e.g.,http://www.wbx.com), and American (e.g., http://www.matchbook.com)origin. As a consequence of the competitive odds Pinnacle is offering, Musumeci and Peterson conclude “Pinnacle’s margins are smaller.” These smaller profit margins are responsible for the fact the discount-bookmaker is, like a typical betting exchange, very dependent on volume to survive and therefore needs to attract not only a large amount of customers, but also attract professional bettors, who will typically shop around to find the best odds available for a certain event. 7.
Laffey, D. (1998). (2005) “with a click of the mouse they [the bettor] can essentially do what Ladbrokes or William Hill [the bookmaker] does.” Also, the bettor has the opportunity to adjust his own betting position at a later time; for example, buying or selling back his own bet at different odds, thereby possibly even securing a profit before the event he was betting on has even started. These markets are known as betting exchanges. Some betting exchanges have tried creating a unique selling point by trying to be different with regards to, for example, the percentage of commission charged on winnings. However, as the match approaches, the payout offered by betting exchanges increases, while the payout offered by bookmakers remains more or less constant. To underline the potential, according to the previously mentioned study ordered by the European Commission, in 2003 the gross gaming revenues, the winnings of the operator minus payments of prizes, in European member states reached a level of approximately 51.500 million (compared to 60.700 million in the USA), of which 17.2% was generated in activities related to sports betting.
(12) Source: http://www.themanufacturer.com/britishindustry/ content_page.html?article_id=146
(13) Source: http://www.betfaircorporate.com/pdf/australia_licence.pdf
However, Metcalfe’s Law can also be applied the other way. As a consequence, though, liquidity in this markt needs to be provided by American bettors. (2005). (4)
Figure 3 shows odds offered by betting exchanges are indeed most of the time, but not always, higher than odds offered by bookmakers. This can be explained by the fact that a bet placed with a bookmaker, in almost every country in the world, is very hard to enforce by the bettor. (2006). As a result the likelihood that the user will join the exchange and start making offers for himself will also increase.
Phillips, T. Figure 5 of this paper shows a majority of betting exchanges appear to be focusing their offering on soccer, which also happens to already be one of the strongest and best developed sports on offer at Betfair. The problem of externality. (2005). Retrieved August 26, 2007, from http://www.sportingbetplc.com/90
Recently, a new type of betting market has appeared, where punters bet directly with each other (peer-to-peer betting). According to Laffey (2005) “Betfair have stated that for some events they have matched up to ten times more in-play than beforehand, showing the appeal of this product.”
Dey, E. The functional form of network effects. Information Economics and Policy, 14(3), 417-429.
(21) Source: http://.www.online-gambling-insider.com/online-gambling/ ogi-Barney-Frank’sOnline-Gambling-Bill-Gathers-Momentum-07-24-07.html
A customer that bets with a bookmaker is not only restricted to the prices offered by the bookmaker, but also to the maximum stake that is accepted by the bookmaker. (2003). However, it’s a different story for a customer that manages to ‘beat’ the bookmaker by actually making a profit in the long term. (7)
Unlike a bookmaker, the task of the betting exchange does not include actively monitoring a certain market. (19) Not unexpectedly share-prices of publicly traded betting companies lost up to 70% of their value following the news of the Act. Experts agree, however, that Betfair is by far the biggest betting exchange in the world, having obtained a market share that is estimated to be around 90%. (2006). Internet gambling: An overview of psychosocial impacts. Aiding betting. Ozgit (2005) calls the fact “bookies attract a lot of betting although better returns are available elsewhere” the ’bookie puzzle.’ A solution to the bookie puzzle could very well be bettors’ aversion to risk. (2)
Expansion to related sectors
[FIGURE 3 OMITTED]
Effects of Metcalfe’s Law
Political lobby by bookmakers (UK)
In 2003 the CEO of Betfair, Stephen Hill, told British magazine New Media Age in an interview he doesn’t see Betfair as a gaming company, but mainly as a “internet technology company.” Hill announced in the interview he plans to take Betfair “into entirely new areas of business.” He emphasized the technology that is needed to run a betting exchange, could be used for several other internet concepts that are completely unrelated to gambling; for example, an online auction site.
(9) Source: http://www.eu-ba.org/legislation.html
(28) Source: http://news.bbc.co.uk/sport1/hi/other_sports/horse_racing/ 3616748.stm
Although betting exchanges are still a relatively uncommon phenomenon in the United States, a few particular betting exchanges had already built a solid American customer base. Scotland on Sunday, p. Clearly, the passing of the Gambling Enforcement Act has had big consequences for the entire gambling industry, including the betting exchanges.
(6) Dahlman has based his study on the work of Coase (1937), who first introduced the concept of transaction costs.
Thompson, Jr., A. UNLV Gaming Research & Review Journal, 10(1), pp 27-39.
Ozgit, A. There is no reason why the same mechanism should not also apply to betting markets, which is also consistent with findings concerning a study about betting exchange market efficiency by Smith, Paton, and Vaughan Williams (2006).
Betting exchanges are also expanding into other gambling products, completely unrelated to sports betting. The payout offered by betting exchanges was revised for the commission on winnings betting exchanges charge their customers, which is necessary to be able to make a fair comparison.
Jones, P., Hillier, D., Turner, D., & Comfort, D. As Mainelli and Dibb (2004) comment “liquidity, once established, is hard to shift.” For obvious reasons, a start-up bookmaker does not face any of these liquidity problems, because the bookmaker is by definition the only party making offers on its own betting platform, regardless of the number of customers. . (5) Nevertheless, the study should, next to the study of Ozgit, be regarded as a pilot study. Betting exchange chief loses 1,1m[pounds sterling]. (30,31) The company has obviously benefited greatly from its first mover advantage, and has since its founding never allowed any threat to its leading position. (2002). The economist intelligence unit and Merrill Lynch, Sportingbet Annual Report. (2003). (28)
Probably the most important potential weakness of a betting exchange is not having enough users (and liquidity) to be able to attract new users. The managing director of the company told The Guardian in 2005 “it became immediately clear that to develop [it would be necessary] to seed the markets to create liquidity and attain a critical mass of clients to support the business model.” Seeding could indeed be a solution to creating more liquidity at a betting exchange, but needless to say it is also a financially very risky solution. The results of the SWOT-analysis of the betting exchange are shown on page 44.
Less restrictive legislation (Europe)
Secondly, the betting exchanges are also analyzed on an individual basis. However, although the online betting industry is showing its willingness to fight the problem, gambling addiction not only poses an important threat to the image of the betting industry, but could also in the future remain the most important reason for national governments worldwide to restrict their citizens the possibility to gamble online.
(19) Source: http://www.law.duke.edu/journals/dltr/articles/ 2003dltr0016.html
(26) Source: http://www.pinnaclesports.com
However, as sports betting in general will grow worldwide, it is likely the number of incidents of match fixing will also increase. Draft gambling bill joint committee reports. (6) In analyzing the role of the betting exchange in reducing transaction costs, the focus should be on search and information costs.
New markets (Asia/Australia)
Also, there’s an increasing interest of polling and news agencies in the exchange-technology. Also, in some cases of bankruptcies, other betting exchanges have stepped up to help victimized customers. A “complete market” is defined by Figlewski and Webb (1993) as “one in which, for each possible state of the world, an investor can create a strategy that has a positive pay-off in that state and zero in every other state.” Although Figlewski and Webb admit markets are ”bound to remain far from complete”, they have found, while studying traditional financial markets, a higher level of market completeness tends to improve market efficiency. Therefore, it is difficult to make an accurate estimate as to the worldwide size of the betting exchange market. (21,22) Despite national and international concerns (e.g., Shaker, 2007), as well as a ruling by the WTO indicating the Act is in fact in violation of existing free trade agreements, it doesn’t seem likely the United States government will be taking action to overturn the Act soon. According to Laffey (2005) there were problems of definition and also problems enforcing British legislation on the foreign users of the exchange. New York: McGraw-Hill
(10) Press announcements from the EC about this topic can be found at: http://europa.eu/rapid/
One of the first, and by far most successful, betting exchange is named Betfair (http://www.betfair.com). (1993). (2004), while a betting exchange allows bettors to bet against a certain outcome, “unscrupulous horse racing trainers and jockeys, for example, could lay their horse to lose, […] securing winnings for themselves.”
(20) Source: http://www.bloomberg.com/apps/news?pid=20601087& sid=a6BTLrSohXn0
Musumeci, J., & Peterson, M. Fordham Journal of Corporate & Financial Law, 12, 1183-1203.
[FIGURE 4 OMITTED]
In Figure 3 the measured payout is shown during the biggest of thefour events that were part of this study, the World Championships Soccerof 2006 in Germany. However, these offerings are generally not as well developed as the offering for European sports, with markets being characterized by below-average liquidity. According to Jones et al. This would obviously pose an important threat to the most important strength of the betting exchange: offering better odds than the bookmaker.
The internet itself, the channel through which the betting exchange operates, has worldwide already become an accepted factor in the daily life of many people. A few examples can be found at: http://www.betbull.com/UI/Default.aspx, https://secure.betonbet.com/portal/default.aspx?Redirect=1, and http://www.betfairpromo.com
After identifying a number of important strengths of the betting exchange in the first part of this section, especially the important strength of better odds, it raises an important question as to why online bookmakers continue to be profitable, despite the arrival of the betting exchange. (2005, Fall). A notable example was the effort by Mansion, which cut commission on winnings to as little as 1%. Many of these bookmakers claim that bettors that ‘lay’ a bet at a betting exchange are in effect taking the role of the bookmaker, and therefore should be subject to the same regulations as the bookmaker. sports, also Betfair, and other betting exchanges, are still accepting bets on, for example, NBA basketball, NFL football, and MLB baseball placed by their non-U.S. (2003, September 29). The company is focusing its efforts on offering a wide selection of North American sports, an area in which Betfair has never been particularly strong. For example, in the United Kingdom, seen by many as one of the most liberal countries in the world with regards to betting, a bet is not legally enforceable (and therefore often referred to as a ‘gentleman’s agreement’). (18) While betting through the internet, as in many countries, has always been a ‘grey area’ in American law, and rules on gambling vary greatly from state to state, the American betting industry has shown enormous growth in the last couple of years. Potential customers will for that reason be less inclined to join that specific exchange. Mainelli and Dibb write “despite frequent attacks on the exchange model, traditional bookmakers would be commercially naive, if they were not also looking into opening their own exchange.” Furthermore, there has been talk of British bookmaker-giant Ladbrokes being interested in the take-over of Irish betting exchange Betdaq.27 Also, according to Laffey (2005) there have been rumors regarding a possible launch of one or several new betting exchange(s), offering down to zero percent commission, by the ‘Big Three,’ the three biggest British bookmakers William Hill, Coral, and Ladbrokes. If a bettor would question the reliability of a betting exchange, he might very well prefer to keep on betting with the bookmaker he has been betting for years, if that bookkeeper is perceived to have a lower counter-party risk. Economica, 73(292), 673-689.
Swann, G. Smart money is on black. Mainelli and Dibb (2004) have noted “existing competitors all have business models and value propositions similar to Betfair” and therefore conclude ”it’s hard to see why they [these betting exchanges] should succeed in the future when their efforts to date have largely fallen short.”
Betting exchanges themselves regularly claim they offer customers up to 20 percent better odds than the online bookmaker. The Journal of Finance, 48(2), 761-777.
While, as already mentioned, Figure 3 only shows the results of one of the four studied sporting events, other events showed roughly identical findings. His research interests include competitive balance in sports, market efficiency, and applied econometrics applied to sports phenomena.
Migration of technology to unrelated sectors
In many European countries it is only possible to bet on sports through a state-owned subsidiary. American betting exchange Betbug had already decided to cease operations in February of that same year, while TradeBetX ceased operations in November 2008.
OECD. A remarkable finding is that it seems there is very little difference between the betting exchanges in terms of commission charged to customers and product offering. (2005, January 7). Betfair has therefore decided to take matters into its own hands. Of course, if every bettor that has ever laid a bet at a betting exchange would be obliged to follow these same regulations, this would pose a very serious threat to the business model of the betting exchange.
A fundamental advantage of the business model of the betting exchange to the business model of the bookmaker is the fact the exchange (normally) is not a party in any of the betting transactions that take place on their website. www.betfair.com: World wide wagering. New Betfair CEO keen to expand business areas. Centre for the Study of Financial Innovation, London.
Increase of market completeness
Buchdahl, J. However, beside there being no guarantee the British government in the future will not again attempt to tackle these practical problems, it remains unknown how other countries in the world will decide and possibly impose restrictions regarding this subject.
New Media Age. These practices have always been seen by sports governing bodies as a serious threat to the integrity of sports, but have also been very difficult to prove. In economic literature Dahlman (1979) identifies three different types of transaction costs: search and information costs, bargaining and decision costs, and policing and enforcement costs. In 1998, online bookmaker Pinnacle Sports was founded, a company that operates from the Netherlands Antilles. The figure shows the payout offered by six differentmajor betting exchanges (Betdaq, Betfair, BetonBet, Betsson, IbetX,Parbet, and TradeBetX), as well as the average payout offered on averageby a sample of up to 72 different bookmakers (“Bookm. writes “simply provides the platform.” The concept of the betting exchange can therefore significantly reduce search and information costs (and therefore also reduce total transaction costs), in comparison to the traditional bookmaker.
The business model of the betting exchange allows its users to bet (back), but also to offer (lay) money, against whatever odds they like, at whatever time they like, on whatever event they like. Markets for sporting events need to be created, and, when the event has taken place, settled according to the result, but that is where the responsibilities of the betting exchange end. Lawyer, 16(46), 18.
In October 2006 President Bush signed a law, called the Unlawful Internet Gambling Enforcement Act, which makes it illegal for American-based banks, credit card companies, and online payment systems to process payment to online gaming companies. In this study odds offered by a large sample of bookmakers were compared to odds offered by betting exchanges in different intervals during every fixture of four major sporting events in 2006 (World championships soccer, ice hockey and floorball, and the European u21 Championships soccer). In comparison, the average bet size of European and American customers over the same year amounts to ‘only’ 22 and $59 per bet respectively. In the current market it seems Betfair has grown to such a scale there’s hardly any serious competition the company needs to take into consideration. Odds were measured in terms of payout, a number that reflects the percentage of the original amount of money staked a bettor would be returned if he would place relatively equal bets on every possible outcome. (1979). Strategic management (12th ed.). Betfair, as well as other exchanges, have addressed this issue by making a promise to customers all funds will be held in so called ring-fenced subsidiaries, to prevent the company funding itself by customers’ deposits (Hoare, 2002). However, the internet has also created many new possibilities for other, related innovations, like the invention of the betting exchange. (2001). Mainelli and Dibb rate such a possible venture as ‘a formidable challenger’ to in particular Betfair, if only because of its “established customer base, resources and marketing skills.”
Smith, M. Australian bettors showed a tendency of betting up to 5.5% of consumer spending, while Asian bettors were inclined to bet 1.8%. European Management Journal, 23(3), 351-359.
(23) Source: http://www.gambling911.com/WTO-Antigua-Ruling-033007.html
(31) Source: http://en.wikipedia.org/wiki/Bet_exchange
(3) The claim of “up to 20% better odds” is made regularly by different betting exchanges. (17) For that reason a number of betting exchanges have already started offering their customers the possibility to play poker, blackjack, and casino games through their own website. (2005). Scientific American, 298(3), 38-45.
There have been attempts by American congressmen to repeal the Act, as well as an effort by the country of Antigua and Barbuda to make the United States change its laws by filing an official complaint to the World Trade Organization (WTO). This prediction is confirmed by the relatively large number of betting exchanges that have closed in 2007 and 2008 (see Figure 5). However, the company decided to close down its betting exchange in October 2007. Applied to the case of the betting exchange, Metcalfe’s Law predicts that the more users a betting exchange has, the more offers will be made, and the bigger the chance will be that any individual player at that exchange will find a reasonable offer to his liking. The prices offered by Matchbook may not reflect all information that is available globally.
United Kingdom Parliament. To make matters worse, some betting exchanges (e.g., Sporting Options and Play121) have had to file for bankruptcy in recent years, while others (e.g., Back2Bet and The Soccer Exchange) have vanished, taking the funds of customers with them.
David Hood, a spokesman for leading British bookmaker William Hill, commented on this issue in 2003 in the International Herald, “if I stand […] outside a betting shop and offer to lay a bet which you take, I am breaking the law, because I am not a licensed bookmaker,” but “if we both boot up laptops in the street and strike the bet using a betting exchange, I am not breaking the law? What is the difference?” Betting exchanges have defended themselves by claiming not the bettor, but the exchanges themselves are in fact acting as a bookmaker, because they are the ones who collect the deposits and pay out the winnings. The Guardian.
(7) Source: http://networks.silicon.com/webwatch/ 0,39024667,39125945,00.htm
Like many online bookmakers, more and more betting exchanges are investing in broadening their product offering with other gambling products. financial firms to establish and implement policies and procedures to prevent payments to gambling businesses. (24,25)
Figlewski, S., & Webb, G. In the final minutes before the event starts, a bettor would have been better off betting with any of the six betting exchanges.
At about the same time as the business model of the betting exchange was introduced, another new, less radically different, business model was born. The most notable example of this is the rescue package offered by Betfair, after British betting exchange Sporting Options had to cease operations. The evolution of prices in the 21st Century American football betting market. To be able to make a definitive statement as to when to what extent the betting exchange offers better odds than the bookmaker, more research is needed.
Mainelli, M., & Dibb, S. Recently though, both online bookmakers and sports governing bodies have claimed the rise of the betting exchange has made it easier for bettors to profit from insider trading
These were no small prizes either as the amounts range from hundreds of thousands to millions of dollars, with the sites pledging to award over 3 billion in prizes alone this year. States like Kansas, Maryland, Massachusetts and New Jersey have already taken a pro stance on fantasy sports. This would be great if, as their ads imply, the prizes are fairly distributed, however this insider trading scandal brought their legal status into question. This business was launched on the basis that fantasy football is a skilled form of gameplay, not one based on chance or luck.
The gaming sites proved that their winners were based on one’s knowledge of the sport by awarding a large sum of their prizes to employees who used inside information to gain an unfair edge on the general public. It is already a multibillion-dollar industry and will undoubtedly throw its weight around when pushed. Americans love gambling and sports. Draftkings estimates they have over 500,000 participants in New York alone. He goes on to say that these sports fantasy sites are marketed as a game that anyone can win but in fact distributes the vast majority of winnings to a small subset of experienced, highly sophisticated players. Last month Nevada regulators ruled that online fantasy sports are considered gambling, requiring these sites to cease operations until gambling licenses are acquired. Draftkings and Fanduel have openly strongly disagreed with Schneiderman and will pursue all legal options available to them. The New York Times reported that yesterday the New York State attorney general Eric T Schneiderman, ordered a cease and desist on the two online gambling giants demanding that they immediately stop taking bets from New Yorkers, under the premise that their operations constituted illegal gambling in the state of New York.
In his press release Schneiderman accused Draftkings and Fanduel of being leaders of a massive, multibillion-dollar scheme intended to evade law and fleece sports fans across the country. These winners constitute roughly 1% of all players on the two sites.
This is the latest blow to fantasy sports legal standing. Any NFL fan will no doubt have seen the endless advertising by Draftkings and Fanduel, who were able to form a lucrative partnership with the NFL. At the end of it all it will be whoever can sway the masses that will be victorious.
. It only makes sense to combine the two. They have sent emails to these customers asking them to defend their right to play fantasy sports.
NFL is a big deal in this country and has millions of loyal followers who also happen to love betting on the game. If Draftkings and Fanduel are able to leverage these fans against their state legislators they might come out on top. In the meantime they will continue to operate in the state of New York.
These online fantasy sports businesses, while relatively new, have substantial backing both by sponsors and fans alike
Combine all of those, and you might just come out on top. Nowadays, there are an unlimited number of computer simulations and formulas designed to rank and rate teams in just about every sport you can think of and with a little thought, its easy to see how you can utilize them when making sports picks. However, its not something that is heavily guarded against, as in general terms, each bookmaker still feels they win in an overall sense after all, you are just playing their odds you win on the differing numbers between bookies. And, of course, bet enough money and a small profit becomes a big one. Therefore, what is arbitrage betting, exactly? This type of betting means that when it comes to a sporting match, the gambler places a wager on several aspects of the match, with different bookmakers. But in the modern world of sports betting, we have even more tools at our disposal than ever, and not taking advantage of them means youre not doing everything you can do to win. Of course, with this type of wager, one needs to be seriously adventurous. Win, lose, low point spread, high point spread, you name it. Successful sports betting takes a feel for the game youre betting on, a lot of knowledge about injuries and trends, and an understanding of the odds. Now, were not going to go into the math here, as it can be long and somewhat complicated, but trust us when we tell you that arbitrage betting situations can and do exist all the time. And thats where your friendly independent bookmaker comes in.The ones that will tend to go against the grain and give odds on what they personally think, and not the established odds. Well, yes, it is legal, although some bookmakers will not take your bet if they suspect arbitrage betting. It is these types of free-thinking bookmakers that allow for heavy arbitrage betting taking place. It usually takes a hefty cash layout to participate, but, if you feel its a sure thing, well, why not? If you are sporting enthusiasts, and you would like to put a little wager on some event or think that you can predict successfully, then you can earn some bucks by using the arbitrage betting systems.
Sports betting have always been part art, part science. Any type of sporting event that has a gambling factor to it, there is always some kind of interesting and unusual bet that can be made.
One of the more daring wagers that a bettor can do is called arbitrage betting. And if that happens, depending on the difference and the bets offered, one could feasibly bet both sides of an event with competing bookmakers, and guarantee a small profit no matter who wins. While this sounds like an insane waste of money, the idea behind it is that, regardless of what is being bet, the bettor is still going to get a profit no matter who wins the game. It can be a complicated formula, but if you are interested in arbitrage betting, we encourage you to read up on the subject. Learn about sports bettingand sports betting optionsat BonusBonusBonus.com.
The basic premise is the odds between two bookmakers may differ. This is also referred to as a sure win bet.. The big key to arbitrage betting is to find differing odds amongst different bookmakers
Research and Markets: ‘The Global Business of Online Sports Betting: A Market Assessment and Outlook Report’ Provides Case Studies of the Major Online Sportsbook Operators and Suppliers
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It provides case studies of the major online sportsbook operators and
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Online Sports Betting: A Market Assessment and Outlook’ reveals that
both personalisation and localisation of services are now high on the
agenda of many gaming operators. We provide you with the latest
data on international and regional markets, key industries, the top
companies, new products and the latest trends.
. Understanding the demographics and
motivations of sports bettors can greatly enhance the effectiveness of
product development strategies and customer retention initiatives.
Betting companies are indeed getting in on the act by increasingly
offering mobile websites and smartphone applications.
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- William Hill
Online Sports Betting: A Market Assessment and Outlook’ examines the
main issues surrounding the growing online sportsbook industry including
betting market overviews by region; areas of opportunity; factors
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Research and Markets is the world’s leading source for international
market research reports and market data.
Furthermore, brands from other media or industries are increasingly
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In terms of new technology, the anytime, anyplace, anywhere’ convenient
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makes them ideally placed for offering betting services to customers