The sporting world is getting bigger as sports betting companies continues to spring up across the world. But how does betting odds work? Not to worry, I will be giving you the answer in this article.
If you intend to go into sports betting be it a casino, you need to understand the odds. Placing a bet without understanding this seems absurd. You need to have a good grip on the main types of betting odds and must be able to read and interpret the various associated formats.
Types of betting odds
There exists three main types of betting odds. They include fractional (British) odds, decimal (European) odds, and American (moneyline) odds. They are different ways of presenting the same thing and hold no difference in terms of payouts.
Fractional Odds
These are popular among British and Irish bookies. They are written with a “slash (/)” or a “hyphen (-),” e.g. 6/1 or 6-1 and announced as “six-to-one.”Because they are used by some of the world’s largest bookmakers, they are the most preferred odds across the globe.
Seeing a fractional listing of 6/1 (six-to-one) odds means you win $6 against every $1 you wager (in addition to receiving your dollar back, i.e. $1 – the amount you wagered). This means you will receive your stake ($1) in addition to the profit ($6), resulting in a total payout of $7. So, staking $10 at 6/1 gives you a total payout of $70 ($60 profit + $10 stake).
Decimal Odds
Also known as European odds, digital odds, or continental odds, Decimal odds are popular in continental Europe, Australia, New Zealand, and Canada.
They are a bit easier to understand and work with.While staking, you can quickly spot the favorites and underdogs instantaneously.
They are the types of odds that represents the amount one wins for every $1 wagered. Here, the number represents the total payout, rather than the profit. This means your stake is already included in the decimal number (no need to add back your stake), which makes its total payout calculation easier.
For instance, if you stake between Donald Trump and Joe Biden for the US 2020 Presidential race, Trump’s odd is 4.00 while Joe Biden’s is 1.3. Betting $100 on Donald Trump means you could make a total payout of $400 ($100 x 4.00), giving a net profit of $300 if he wins.
American (Moneyline) Odds
These are popular in the United States as favorites are accompanied by a minus (-) sign, indicating the amount you need to stake to win $100, while the odds for underdogs are accompanied by a positive (+) sign. This indicates the amount won for every $100 staked.
Here you get your initial wager back, in addition to the amount won. For instance, a bookmaker in the bet for the men’s basketball game between Duke and Syracuse offered +585 for Syracuse, while Duke was given 760. This means the bookmaker has placed a much lower probability (about 15%) on Syracuse winning the game.
Risking $100 on Syracuse makes a potential win of $585. If Syracuse causes an upset, you gets back your initial stake of $100, in addition to the $585 won, giving a total payout of $685.
Now that you understand the basics, you can go out there from the age of 18 to stake your bet and win.
