What is Arbitrage Betting? How Does Arbitrage Betting Work?

Arbing explained with examples, step-by-step stakes, and risk notes.

What is arbitrage betting?

Also known as arbing, it is when a bettor places a wager on both sides of an outcome in order to profit. Although there are some risks, which will be detailed later, arbitrage betting results in a guaranteed mathematical profit. It is a form of hedging and requires the bettor to place their bets at roughly the same time on opposite sides of the same bet.

Arbitrage betting examples

1. Two sportsbooks offer different prices or lines on the same bet, so you place bets on both sides to make a profit.

2. Three different sportsbooks are offering different prices on a moneyline at the same time, so you bet both sides to profit.

The screenshot above is taken directly from the arbitrage betting tool on the fairoddsterminal website. In this example, the play is on 1x2 on Chelmsford City FC vs Braintree Town FC game. If you bet €100 on the home, €162 on draw and €467 on away, you get 41.23 profit of 5.7%.

So, using this example, you would risk €728 between all three bets, and you would have a payout of €770, with a profit of 5.66%, or €41.23. Obviously, the more you risk the more profit you will make.

This is similar to option 1, but instead of betting on all three sportsbooks you would bet on two outcomes.

So, using the Grazer AK vs Rheindorf Altach (Total 2.50) example. Let’s say NordicBet had Over 2.18 and Bovada had Under 2.05.

You would bet €100 on Over 2.18 to get a payout of €218.00.

The other side you would bet €106.34 on Under 2.05 to get the same payout of €218.00.

The profit % on this one would be 5.65%, and total profit would be €11.66 because you would have a total stake of €206.34 and a total payout of €218.00.

3. A line moves after you place a bet, so you can now bet the other side for profit.

Least common, but useful to watch, especially live. You place an initial bet, the market moves, and the opposite side becomes good enough to hedge into a guaranteed profit.

Example (Grazer AK vs Rheindorf Altach – Total 2.50): You first bet Over 2.18 for €100 — payout €218.00 if Over hits. Market shifts and Under 2.05 becomes available.

Now back the other side to equalize payouts: Stake on Under = €218.00 ÷ 2.05 = €106.34.

Outcomes (both pay €218.00):
If Over wins: your Over ticket pays €218.00; you lose €106.34 on Under — €11.66 profit.
If Under wins: your Under ticket pays €218.00; you lose €100.00 on Over — €11.66 profit.

Totals: Total stake: €206.34. Guaranteed profit: €11.66. Profit % (ROI): €11.66 ÷ €206.34 ≈ 5.65%.

Overall notes

Overall, arbing is a good way to optimize winnings betting, but it’s generally not advisable to only arb bet as a sports bettor. The profit margins are small (generally no greater 2.5%), and you would need to invest a significant amount of money in order to make any meaningful profits.

But, with that said, there are still important strategies to help you effectively and efficiently arb.

The most important strategy is to avoid betting an uncharacteristically large amount of money when arbing. Not surprisingly, sportsbooks don’t appreciate players that arb.

You should also be using as many sportsbooks as possible, and keep track of which ones you use the most often.

Another beneficial way to successfully arb is doing so when you get a deposit bonus in some sports betting site. Deposit bonuses specifically are a nice way to get a high percent of profit without having to have a large amount at stake. For example in Western Kentucky Hilltoppers (1.42) vs New Mexico State Aggies (3.75) with a €500 deposit bonus on Marathonbet, you can stake €500 on Western Kentucky @ 1.42 (payout €710) and hedge €189.33 on New Mexico State @ 3.75 at MyBookie to match the same payout. Total stake would be €689.33, total payout €710, guaranteed profit €20.67. Because the €500 side is covered by bonus funds, your out-of-pocket cash is only €189.33 giving us a whopping 500eur profit.

Try it live in FairOdds Terminal: find arbs, size stakes, and execute quickly.

Arbitrage Betting FAQ