Sports betting is an ancient practice which gone hand in hand with sports for centuries. The practice has changed dramatically, evolving from its roots in Roman chariot races to the modern-day online platforms. The reason for the long lifetime of sports betting must be found in the captivating and thrill-seeking aspect of placing bets on sports events and nervously following the result of the money placed on various sports events outcomes. To navigate the complex nature of sports betting online, you will need a compass to get you through the waters, which is what this article will provide you.
Introducing sports betting
Just to get the bases covered, sports betting involved the act of placing a wager on the outcome of a sporting event. Sports bets can be placed on a variety of sports, the most popular ones being football, basketball, horse racing, tennis, and esports. Sportsbooks, also referred to as bookmakers, will set the odds for the events, and based on these odds you can decide which side of the wager you want to bet on. This decision should be based on your own or experts’ prediction of the outcome.
Sports betting is now no longer only a practice happening in person, as this centuries-old tradition has been taken into the digital age. With the introduction of sports betting online, anyone is who has internet access, and a smart device is allowed to place bets on almost any sports event in the world.
Odds and payouts
At the core of sports betting is odds. Odds are numbers indicating the probability of a particular outcome, which also means odds determine the potential payout of your bet if it turns out to be successful. Odds are usually presented by sportsbooks in one of three formats. The first is decimal odds, which is most common in Europe. The number shows the total return for each unit you have wagered, including the initial stake. An example is if the odds are 1.75 and you place $100, the bet would return as $175, resulting in a $75 profit.
The second type is fractional odds, which is especially popular in the UK. This type of odds shows the potential profit relative to the stake. So, what does this mean? It means that if the odds are 5/2 and you place a $2 wager, it will return in a $5 profit plus the original $2 stake. The third type is money line odds, which is mostly common in the U.S. This type of odds indicates how much you should wager to win $100, or how much you would win from a $100 bet. For example, if the odds say -150, you will need to bet $150 to win $100, where +200 means that a $100 bet would return $200.
The role of sportsbooks
The platforms which accept bets and set the odds are called sportsbooks. The main goal of these sportsbooks platforms is to balance the book, which means that it must ensure that they will make a profit regardless of the outcome of the sports event. This entails calculating the odds to reflect the likelihood of each event. However, this also includes factoring in a margin, which is essentially the commission of the sportsbook for accepting the bets.
To further understand this, take a tennis match. This type of sports is a part of a typical two-outcome market, which means that the odds might not reflect a 50/50 probability. Bookmakers can ensure profits by skewing the odds a bit, to make a profit from either outcome.
The various types of sports bets
The number of sports bets are high, and the type offered may vary from sportsbook to sportsbook. Each type of bet is unique with its own level of complexity and risk, which makes it crucial to understand the various options and what they entail.
Money line bets
The most straightforward type of bet is a money line, since you simply place a wager on which team or individual will win the event.
Point spread
The purpose of a point spread is to level the playing field. What does this mean? The sportsbook gives an advantage to the underdog and a disadvantage to the favourite.
Over/under (totals) bets
When placing bets on over/under bets, you are wagering on whether the total points scored by both teams combined will be over or under a number. This number is set by the sportsbook.
Parlays
In a parlay bet, you are combining multiple individual bets into one larger bet. This type of bet has a big catch: every selection must win for the parlay to be successful.
Prop bets
Proposition bets are wagers on specific events within a game, removing the focus on the outcome. You can bet on a variety of things, such as who will score the first goals, or how many points a player will score throughout the game.
Futures bets
As indicated in the name, this type of bets are long-term wagers on events in the future. The long-term horizon means this type of bet can offer substantial payouts if correctly predicting the outcome.
Concluding remarks
Sports betting is a fun hobby which adds more thrill to the sports experience. Knowing about the various types of bets and understanding how to read odds are the essentials to have a good start when navigating the sports betting waters.