3 ms·

They should just do gambling like predictit. Sell contracts for a Buck a piece and only return .90 (or some other fraction). If big analyst come in and buys one

They should just do gambling like predictit. Sell contracts for a Buck a piece and only return .90 (or some other fraction). If big analyst come in and buys one way or another the casino doesn't care.

TylerE 8y ago
That's more or less how a sportsbook operates. However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins.
- gruez 8y ago
  >However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins. isn't that only an issue if the counterparty to each bet is the sportsbook? why can't a sportsbook operate like an exchange, with a bid/ask orderbook and take a % off each trade?
  - TylerE 8y ago
    Well, I mean, you could, but the point of a book is that they take action. It's like a market maker.
  - kasey_junk 8y ago
    There are book exchanges. Historically that was leaving money on the table though as squares outnumber sharps.
    - repsilat 8y ago
      It's not either-or, really. If you run an exchange you can bet on it (maybe depending on jurisdiction.) Then you get the commission or the winnings. IIRC matchbook.com do that though I may have been misinformed.
  - adw 8y ago
    You just described Betfair and Smarkets.
  - tpm 8y ago
    > why can't a sportsbook operate like an exchange It can and some do. But it's nearly impossible to do combined bets (multiples, accumulator etc) in an exchange, and they are very popular. Also as already mentioned it's leaving money on the table.
- wolfgke 8y ago
  > That's more or less how a sportsbook operates. However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins. Beforehand: I don't do sports betting. So I don't know much about the sports betting culture. But why doesn't the bookmaker simply let anybody "pre-buy" bets (just like you do a bidding on an eBay auction). You will get your bet "approved" as soon as it becomes matched (or at least "near-matched") by the bookmaker. If it cannot be matched, you, of course, get your money/betting token back (just like you don't have to pay anything on an eBay auction if you become outbid). Perhaps it might even be interesting to offer "flexibility in the ratios" for the bettor, i.e. if you are willing to only get 1.5 times your stake (instead of 2 times), you get "more in front of the queue for finding a match" (because this is better for the bookmaker).

TylerE 8y ago

That's more or less how a sportsbook operates. However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins.

gruez 8y ago
>However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins. isn't that only an issue if the counterparty to each bet is the sportsbook? why can't a sportsbook operate like an exchange, with a bid/ask orderbook and take a % off each trade?
- TylerE 8y ago
  Well, I mean, you could, but the point of a book is that they take action. It's like a market maker.
- kasey_junk 8y ago
  There are book exchanges. Historically that was leaving money on the table though as squares outnumber sharps.
  - repsilat 8y ago
    It's not either-or, really. If you run an exchange you can bet on it (maybe depending on jurisdiction.) Then you get the commission or the winnings. IIRC matchbook.com do that though I may have been misinformed.
- adw 8y ago
  You just described Betfair and Smarkets.
- tpm 8y ago
  > why can't a sportsbook operate like an exchange It can and some do. But it's nearly impossible to do combined bets (multiples, accumulator etc) in an exchange, and they are very popular. Also as already mentioned it's leaving money on the table.
wolfgke 8y ago
> That's more or less how a sportsbook operates. However if the action doesn't balance out, the book has considerable exposure if the team with more bets on it wins. Beforehand: I don't do sports betting. So I don't know much about the sports betting culture. But why doesn't the bookmaker simply let anybody "pre-buy" bets (just like you do a bidding on an eBay auction). You will get your bet "approved" as soon as it becomes matched (or at least "near-matched") by the bookmaker. If it cannot be matched, you, of course, get your money/betting token back (just like you don't have to pay anything on an eBay auction if you become outbid). Perhaps it might even be interesting to offer "flexibility in the ratios" for the bettor, i.e. if you are willing to only get 1.5 times your stake (instead of 2 times), you get "more in front of the queue for finding a match" (because this is better for the bookmaker).