What is a Betting Exchange?
A betting exchange operates similarly to a stock market, allowing the user to trade their bets. Rather than betting against the bookmaker, the user bets against fellow users, with the betting exchange acting only as an intermediary and taking a marginal commission from winning bets. Users can place a “back” bet – betting for an outcome – or a “lay” bet – betting against an outcome. The two most noted advantages provided by a betting exchange ahead of conventional bookmakers are no-limit betting and very sharp odds.