What is Arbitrage Betting?

With sports betting now available all throughout the country, there are plenty of betting strategies to consider in order to try and beat the sportsbooks. One of these strategies is arbitrage betting, but what is arbitrage betting?

Our article will give you everything you need to know regarding arbitrage betting, including what is arbitrage betting? how to arbitrage bet? and is arbitrage betting legal? We also have some tips and strategies to help you effectively arbitrage bet, including how to use an arbitrage betting calculator and how to get a 7-day free trial with the arbitrage betting experts OddsJam using our promo code PICKSWISE.

❓ What Is Arbitrage in Sports Betting?

In order to learn how to arbitrage bet, you will first need to know what arbitrage betting is. In simple terms, arbitrage betting is when you make multiple bets on the same sporting event to guarantee yourself a profit.

📜 Arbitrage Betting Explained

To further explain how to arbitrage bet, it is important to first answer the question, is arbitrage betting legal? The answer to this question is yes and it is a legitimate strategy used by many sports bettors. 

For arbitrage betting to work, you will need to be willing to place sizable bets and you will have to have an account with multiple sportsbooks. Further, you must also be quick and decisive as odds can change at any moment, which could drastically affect how effective your sports betting arbitrage strategy is.  

🔄 When Should you Arbitrage a Bet?

The best time to use a sports betting arbitrage strategy is when you find a discrepancy in the odds for a particular sporting event.  

🧮 How To Calculate an Arbitrage Bet

In order to further understand what is arbitrage betting, below we have provided an example:

Let’s say you are wanting to bet on the Atlanta Falcons and the Carolina Panthers. On one sportsbook, the Falcons are +110 on the money line, while on another sportsbook, the Panthers +110 on the money line. This could be an opportune time to employ a sports betting arbitrage strategy. By betting $100 on the Falcons at +110 and $100 on the Panthers at +110, you would guarantee yourself $10 in profit no matter which team ends up winning.

Arbitrage Betting Calculator

If you wish to make your arb betting easier, there are also plenty of arbitrage betting calculator options available online. One in particular is OddsJam. They provide an extensive sports betting arbitrage tool that will do all the work for you once you plug in the numbers. This will help give you the amount you will need to bet on your selected arbitrage bets to ensure you will generate a profit. 

This arbitrage betting calculator is accessible on OddsJam, when you subscribe to their service with our promo code: PICKSWISE you can receive a free seven-day trial.   

🖊️ Examples of Arbitrage Bets

Below we have listed several different types of arbitrage betting and examples for each one:

Arbitrage a Futures Bet

For futures betting, you will likely need to be willing to place your bets on every possible outcome. So if you are betting on the winner of the Super Bowl, you could place a bet on every team, but do so that your winnings will exceed the amount of total bets you made.

Arbitrage an Individual Wager

The most common way to use arbitrage betting is on single bets, and more specifically, money line bets. This is because money line bets are more likely to have plus odds and different sportsbooks may have one team favored, while a different sportsbook may have the other team favored.

Arbitrage with Live Betting

Live betting can be tricky because of how quickly these markets are updated. Much like money line bets, you will need to look for money line discrepancies where one team is favored at one sportsbook and the other team is favored at another sportsbook.

Arbitrage a Parlay Bet

Parlays may be the trickiest market to use arbitrage betting as with a parlay, at least two legs are required. For this to work, you will likely need to make multiple parlay bets with at least two games, each covering the different outcomes available.

🔒 What are the Risks of Arbitrage Betting

While sports betting arbitrage can guarantee a profit, there are a considerable number of risks to consider. One of these being that it can take the fun out of betting. A lot of people bet because it can make watching games more fun. Watching a game you have money on is an unique experience that brings out different emotions as the game goes on. By arbitrage betting, it takes the sweat out of your bet as you know that whichever side wins, you win as well.

Another risk with sports betting arbitrage is the possibility of being banned from the sportsbooks you are using. While arb betting is not explicitly illegal, most sportsbooks will crack down on this if they suspect you are taking advantage of them. Think of this like card counting in BlackJack. While not illegal, if a casino suspects you are card counting, they can ask you to leave or even ban you from the casino you are playing at. Arb betting works the same way in this sense.

🏢 Arbitrage Betting FAQs

❓Is Arbitrage Betting legal?

Yes, there is nothing explicitly forbidding arbitrage betting, but it can backfire on you if the sportsbooks you are using catches on.

❓How to Arbitrage Moneyline Bets?

Arbitraging money line bets requires you to find plus odds for the same game on two different sportsbooks. Use a betting calculator to determine how much to bet on each side given their odds to ensure you will generate a profit.

❓How to Arbitrage Parlay Bets?

With parlay bets, you will likely need to make multiple parlays to cover the many different outcomes of a particular sports event.

❓How to Arbitrage Spread Bets?

Spread bets are much harder to arbitrage because generally the odds for these bets are -110. In the event that you can find plus odds on the spread, arbitrage betting will work like money line bets.

❓How to Arbitrage Prop Bets?

With prop bets, you will need to locate a suitable prop and look for various odds at different sportsbooks, ensuring that whichever side wins, you will profit something.