Arbitrage betting, often called “arbing,” promises a risk-free way to profit from sports betting by exploiting discrepancies in odds across bookmakers. But is it truly possible to guarantee profit with this strategy? In this comprehensive guide, we’ll break down how arbitrage betting works, its potential rewards, hidden pitfalls, and whether it’s a sustainable approach for long-term gains.
What Is Arbitrage Betting?
Arbitrage betting involves placing bets on all possible outcomes of a sporting event across different bookmakers to lock in a profit regardless of the result. This opportunity arises when bookmakers offer differing odds, creating a mathematical advantage for the bettor.
How Arbitrage Opportunities Occur
- Odds discrepancies: Bookmakers may assess probabilities differently due to varying risk models or market influences.
- Line movements: Odds can shift due to betting volume, team news, or market overreactions.
- Regional biases: Local bookmakers may adjust odds to balance action from their customer base.
The Math Behind Arbitrage Betting
To identify an arbitrage opportunity, you need to calculate whether the combined odds guarantee a profit. Here’s the formula:
Arbitrage % = (1 / Decimal Odds A) + (1 / Decimal Odds B) + … (1 / Decimal Odds N)
If the result is less than 1 (100%), an arbitrage opportunity exists.
Example Calculation
| Outcome | Bookmaker | Odds (Decimal) | Implied Probability |
|---|---|---|---|
| Team A Win | Bookmaker X | 2.10 | 47.62% |
| Team B Win | Bookmaker Y | 2.05 | 48.78% |
Arbitrage % = (1 / 2.10) + (1 / 2.05) = 0.476 + 0.488 = 0.964 (96.4%)
Since 96.4% < 100%, this is a 3.6% profit opportunity.
Pros and Cons of Arbitrage Betting
Advantages
- Guaranteed profit when executed correctly.
- No need to predict match outcomes – it’s purely mathematical.
- Works across all sports and markets where odds discrepancies exist.
Disadvantages
- Small margins (typically 1-5%), requiring large bankrolls for meaningful profits.
- Bookmakers may limit or ban accounts suspected of arbing.
- Time-consuming to manually find and calculate opportunities.
- Risk of human error in calculations or execution.
Arbitrage Betting vs. Matched Betting
| Factor | Arbitrage Betting | Matched Betting |
|---|---|---|
| Profit Source | Odds discrepancies between bookmakers | Bookmaker bonuses and promotions |
| Risk | None if executed perfectly | Low (but not zero) |
| Account Restrictions | High (bookmakers actively detect arbers) | Moderate (can be minimized with proper strategy) |
| Potential ROI | 1-5% per arb | 5-15% on bonus conversions |
Practical Challenges of Arbitrage Betting
1. Bookmaker Countermeasures
Many bookmakers use algorithms to detect and restrict arbitrage bettors by:
- Limiting maximum bet amounts
- Delaying bet confirmations during odds movements
- Closing accounts entirely
2. Market Efficiency
As more bettors identify arbs, odds tend to correct quickly, especially in:
- Popular markets (Premier League, NBA)
- High-liquidity events (Super Bowl, Champions League)
3. Operational Complexity
Successful arbing requires:
- Multiple funded accounts across bookmakers
- Fast execution before odds change
- Precise bankroll management
FAQ: Arbitrage Betting Questions Answered
Is arbitrage betting legal?
Yes, arbitrage betting is legal in most jurisdictions as it involves placing legitimate bets. However, bookmakers may prohibit it in their terms of service.
How much money do I need to start arbitrage betting?
While possible with $100, we recommend at least $1,000 to capitalize on enough opportunities to generate meaningful profits after accounting for transaction fees and limited bets.
Are there arbitrage betting software tools?
Yes, services like OddsJam, RebelBetting, and BetBurger scan odds across bookmakers to identify arbitrage opportunities automatically. These typically require monthly subscriptions.
Conclusion: Is Arbitrage Betting Worth It?
While arbitrage betting theoretically offers risk-free profits, practical challenges make it difficult to scale sustainably. The strategy works best when:
- You have accounts with many bookmakers (including lesser-known ones)
- You can act quickly on fleeting opportunities
- You’re comfortable with small margins and potential account restrictions
Want to explore lower-risk betting strategies? Check out our guide on matched betting for beginners or learn about value betting strategies that can deliver higher returns with managed risk.
