Sports betting has become one of the most rapidly expanding entertainment industries globally. With the United States legalizing sports gambling in May 2018, it has experienced a significant boost in its growth. Despite the fame and popularity of sports betting, there are still certain aspects of the experience that are not fully understood by players, casual fans, or even some of the more experienced sports bettors, known as "sharps." The process of betting on sports, the odds, and the terminology used can be confusing for some, thus making it important for individuals to educate themselves before placing bets.
The probability of winning a bet and the interpretation of betting odds are the fundamental principles of every sports bettor's approach to the activity. However, not many people seem to possess the knowledge and confidence to discuss sports betting with authority. A lot of sports bettors don’t have the ability to distinguish American odds from decimal odds and comprehend how they translate into a potential profit. Understanding these concepts is crucial for individuals who want to become successful sports bettors and make informed decisions when placing bets on sportsbooks.
What is Sports Betting
Sports betting is the activity of wagering money on the outcome of a sporting event. This can range from simple predictions, like the winning team of a match, to more intricate ones, like the margin of victory. The variety of options available allows for different types of bets and strategies to be employed by bettors. Sports betting requires two parties, one to offer the odds and accept wagers, and another to participate by committing money and placing the bet. Once a bet is placed, it is locked in and cannot be withdrawn until the outcome of the event is determined, whether it be a winning team or some other condition, and the market is settled, resulting in the distribution of winnings.
Types of Sports Betting
In today's sportsbook market, there are various types of bets to choose from, and understanding their purpose can increase your chances of winning. From simple bets to point spread bets, there are many opportunities to make money through betting on sports. Betting lines and odds can vary, but by understanding the different types of bets, bettors can improve their chances of winning. This knowledge can help you turn a small bet into a large payout. We will now discuss several main types of bets.
Moneyline Bets
A moneyline bet is a type of wager in which a bettor picks a team or individual to win a contest outright, without the use of a point spread. The odds for a moneyline bet are presented as a positive or negative number, with the favorite having a negative number (e.g. -150) and the underdog having a positive number (e.g. +120). The bettor must risk more to win less on the favorite, and less to win more on the underdog. The payout for a winning moneyline bet is determined by the odds of the team or individual winning.
Point Spread
A point spread, also known as a "spread," is a type of bet in which a team is favored to win by a certain number of points. The point spread is set by oddsmakers to create a more balanced betting market, as it allows bettors to wager on the underdog team to lose by less than the point spread, or on the favorite team to win by more than the point spread. For example, if team A is favored to win by 7 points over team B, a bettor who wagers on team A must win by more than 7 points for the bet to pay out, and a bettor who wagers on team B must either win the game outright or lose by less than 7 points for the bet to pay out. The odds for point spread bets are typically -110 for both sides, meaning a bettor must risk $110 to win $100.
Totals
Totals, also known as "over/under" bets, are a type of wager in which a bettor predicts whether the total combined score of a sporting event will be over or under a certain number set by oddsmakers. For example, if the total for a basketball game is set at 200, a bettor who wagers on the "over" will win if the combined score of the two teams is greater than 200, while a bettor who wagers on the "under" will win if the combined score is less than 200. The odds for totals bets are typically -110 for both the over and under, meaning a bettor must risk $110 to win $100.
Prop Bet
A prop bet, short for "proposition bet," is a type of wager in which a bettor predicts the outcome of a specific aspect or event within a sporting contest, rather than the overall outcome of the contest itself. Prop bets can be on a wide variety of outcomes, such as the number of yards a specific player will run in a football game, the number of points a basketball player will score, or whether a baseball player will hit a home run. They can also be on non-sport events like politics, entertainment, or even weather. Prop bets can be quite specific, and the odds will depend on the complexity and the level of uncertainty of the bet.
Futures
A futures bet is a type of wager in which a bettor predicts the outcome of a future event, such as which team will win a championship or which player will win an award. Futures bets are typically made well in advance of the event in question and the odds are subject to change as the event approaches. For example, a bettor could place a futures bet on which team will win the Super Bowl before the start of the NFL season, and the odds of that bet may change as the season progresses and teams' performances are evaluated. The payouts for a winning futures bet can be substantial, but the risk is also high as the event is yet to happen and a lot of things can change.
Types of Odds
There are three main types of odds used in sports betting: decimal odds, fractional odds, and moneyline odds. All three types of odds convey the probability of an event outcome, but they are presented in different formats.
Moneyline Odds
Moneyline odds, also known as "American odds," are a type of odds used to express the likelihood of a specific outcome in a sporting event. Moneyline odds are typically presented as a positive or negative number, with the favorite having a negative number (e.g. -150) and the underdog having a positive number (e.g. +120). The number indicates how much a bettor must risk in order to win $100. For example, if the moneyline odds for a team are -150, it means that a bettor must risk $150 to win $100. If the odds are +120, it means that a bettor will win $120 for every $100 they risk. The negative sign indicates the favorite and the positive sign indicates the underdog. The bigger the number, the bigger the underdog and the less likely they are to win, and the smaller the number, the bigger the favorite and the more likely they are to win.
Fractional Odds
Fractional odds, also known as "British odds" or "traditional odds," are a type of odds used to express the likelihood of a specific outcome in a sporting event. Fractional odds are presented as a ratio of the potential payout to the amount wagered, for example "4/1" or "4-to-1". The first number in the ratio represents the potential payout, and the second number represents the amount wagered. For example, if the fractional odds for a team are 4/1, it means that a bettor will win 4 units of the amount they wagered for every 1 unit they wager. So if a bettor wagers $10, they will win $40 if the team wins. The higher the first number, the bigger the underdog and the less likely they are to win, and the lower the first number, the bigger the favorite and the more likely they are to win. Fractional odds are mostly used in the UK and Ireland, but can also be found in other parts of the world.
Decimal Odds
Decimal odds, also known as "European odds," are a type of odds used to express the likelihood of a specific outcome in a sporting event. Decimal odds are presented as a single number, typically with a decimal point, and indicate the total payout for a winning bet, including the original stake. For example, if the decimal odds for a team are 2.00, it means that a bettor will win 2 times the amount they wagered if the team wins. So if a bettor wagers $10, they will win $20 if the team wins. The bigger the number, the bigger the underdog and the less likely they are to win, and the smaller the number, the bigger the favorite and the more likely they are to win. Decimal odds are mostly used in continental Europe and other parts of the world. They are easy to understand, as they only express the total payout and not the profit, like the other two types of odds.
Live Sports Betting
Live sports betting, also known as "in-play betting," is a type of wagering in which a bettor can place a bet on a sporting event while it is in progress. This means that the odds and the lines are constantly changing based on the current score and the flow of the game. This allows bettors to make more informed decisions, as they can assess the performance of the teams or players in real-time and adjust their bets accordingly.
Live sports betting can be done online or at a physical sportsbook, and it typically includes a wide range of betting options, such as point spreads, moneylines, and totals. Some examples of the types of bets that can be made in live sports betting include:
Betting on the next team to score in a soccer match
Betting on the total number of points scored in a basketball game
Betting on which team will be leading at halftime
Betting on the winner of a tennis match
Live sports betting can be a lot of fun, but it also requires a good understanding of the sport and the teams or players involved, as well as the ability to make quick decisions. It is important to be aware of the risks involved and to always gamble responsibly.
Selecting Sportsbook
Sports betting is a popular activity that is available in many countries around the world, but the legality and options for sports wagering vary by jurisdiction. Some countries, such as the United States, have more lenient regulations for sports betting, while others, like China, have stricter laws. It is important to always seek out reputable sportsbooks and operators, whether online or in retail, and ensure that your bets are placed with trusted and licensed companies. When choosing a sportsbook, it is recommended to research and compare different options, as well as shop around for the best odds offered. This will help bettors make an informed decision and increase your chances of winning.
