Welcome to the ultimate guide to arbitrage betting — a strategy often marketed as “risk-free”, built around exploiting discrepancies in odds across different bookmakers and betting exchanges.
In this guide, I give an honest account of arbitrage betting: its advantages, drawbacks, and the practical realities. I’ll cover the fundamentals of how arbitrage betting works, methods for finding and placing arbs, and the challenges that come with this strategy. By the end, you’ll have a balanced view of whether arbitrage betting is a viable option in today’s betting environment.
Article Contents
What is Arbitrage Betting?
Arbitrage betting, commonly known as “arbing”, is a strategy that aims to guarantee a profit by exploiting differing odds from multiple bookmakers for the same event. It is also referred to as “sure bets”, “sure wins”, or “safe bets”.
At its core, sports arbitrage mirrors the broader principle of arbitrage in finance, which involves simultaneously buying and selling a commodity in various markets to profit from price differences. In sports betting, the “commodity” is the outcome of an event.
To complete an arbitrage bet, you place stakes on all possible outcomes of an event across different bookmakers or betting exchanges. By betting on each outcome at favourable odds, you can lock in a profit regardless of the event’s result. The key is that you’re not relying on predicting the outcome — you’re capitalising on discrepancies in odds.
In practical terms, arbitrage usually means:
- Backing different outcomes (e.g. Team A and Team B) with different bookmakers at misaligned prices, or
- Backing a selection at a bookmaker and laying it on a betting exchange at shorter odds (back high, lay low).
The mechanics vary, but the aim is always the same: cover every possible outcome so that your combined returns are greater than your total stakes, whatever happens. Arbing demands precise stake calculations and quick execution so you can get all legs on before the odds move and the opportunity disappears.
Why Do Arbitrage Opportunities Exist?
If bookmakers are supposed to be efficient, why do arbs exist at all?
In practice, several factors create short-lived pricing gaps:
- Different business models: Sharp bookmakers and some exchanges focus on low-margin, high-volume betting and move prices quickly. Softer bookmakers mimic or trail these prices and often react more slowly.
- Varying margins: Bookmakers build in different levels of overround. A low-margin book can occasionally sit above “true” market value while a high-margin one lags behind, creating a temporary arb.
- Slow feeds and manual trading: Some books still rely on manual adjustments or slower data feeds. When news breaks (injuries, weather, line-ups), sharp books and exchanges move first, and slower books follow.
- Regional and regulatory differences: Sportsbooks in different regions may shade prices differently based on local liabilities, tax treatment, or customer preferences.
- Exchanges reflecting real-time demand: Betting exchanges like Betfair and Matchbook allow odds to move purely on supply and demand, sometimes diverging from slow-moving bookmakers.
Arbitrage opportunities are simply the by-product of these frictions. They rarely last long — but while they exist, a disciplined bettor can exploit them.
How to Find Arbitrage Bets
Trying to compare odds across multiple bookmakers manually to find arbs in real time is not only time-consuming but also impractical. Even with odds comparison sites, the sheer volume of data and the speed at which odds change make manual searches inefficient.
Using specialised arbitrage finders is a more effective approach. Products like RebelBetting and BetBurger are designed to simplify the process by scanning various bookmakers for discrepancies in odds. These platforms continuously refresh their odds feeds and highlight where significant differences occur, pointing out potential arbitrage opportunities. This speeds up identification and gives you a chance to act before prices move.
Arbitrage opportunities often occur when sharp, low-margin bookmakers — such as Pinnacle — or liquid betting exchanges post efficient early prices that softer books are slow to follow. This difference in pricing creates the temporary window required for an arb.
However, even the best services will miss some chances. Odds still move quickly, and not every discrepancy will be captured or remain available long enough to exploit.
How to Place Arbitrage Bets
Placing arbitrage bets involves careful planning and execution to ensure you lock in guaranteed profits from price differences across different bookmakers.
Before starting, make sure you have active, funded accounts with all involved bookmakers and betting exchanges. Verify your accounts and become familiar with each platform’s interface. Automation and tools such as Betfair trading programs can help place bets across multiple platforms quickly and efficiently.
1. Identify the Opportunity
Identify a genuine arbitrage opportunity by comparing odds from various bookmakers or betting exchanges. Use arbing tools or software to find which combined bets mathematically guarantee a profit.
2. Calculate Your Stakes
To ensure a guaranteed profit from an arbitrage bet, you need to distribute your total stake between the bookmaker and/or exchange in a way that balances the potential outcomes. The calculations differ according to the number of selections used and whether the arb involves bookmakers or betting exchanges.
If you are proficient in Excel, you may decide to create your own arb calculator. However, I strongly recommend using an online arbitrage bet calculator.
It is important to confirm that the percentage profit is enough to cover any potential commission or fees attached to placing the bets.
3. Place Bets Simultaneously
Timing is crucial. If an opportunity is still active, place all your bets as close to simultaneously as possible to lock in the odds before they change.
Always ensure a stable internet connection to avoid delays, and double-check that all legs of the arb have been placed successfully. Failure to do so will not hedge your risk. Most platforms provide a confirmation screen — use this to verify your bets.
Types of Arbitrage Bets (with Examples)
Arbitrage opportunities can take several forms. Understanding the main types will help you interpret the output from arb-finding software and decide which opportunities are practical to execute.
At a high level, you’ll encounter:
- Two-way bookmaker arbs: Backing each side of a two-outcome market (e.g. tennis match winner) at different bookmakers.
- Three-way arbs: Backing all three outcomes in a 1X2 football market (home/draw/away) at different books.
- Bookmaker-to-exchange arbs: Backing a selection at a bookmaker and laying it at shorter odds on an exchange.
- Dutching: Splitting stakes across multiple outcomes in the same market to guarantee a fixed return.
- Multi-market arbs: Exploiting misalignment between related markets (e.g. match odds vs Asian handicap or totals).
The examples below show how some of these play out in practice.
1. Bookmaker-to-Bookmaker Arb (Dutching)
Placing arbitrage bets effectively requires careful calculation to ensure an equal profit regardless of the outcome. Here’s a simplified example involving odds from two bookmakers. This type of arbitrage bet is known as a “Dutch”.
Example: Tennis Match Odds
- Bookmaker A (Outcome A): 2.05
- Bookmaker B (Outcome B): 2.25
With a total stake of £100, you need to distribute your stake between the two outcomes to guarantee an equal profit.
The Formula
Stake on Outcome A =
Total Stake × ((Odds at Bookmaker B - 1) / ((Odds at Bookmaker A - 1) + (Odds at Bookmaker B - 1)))
Calculation for Stake on Outcome A
Stake on Outcome A =
100 × ((2.25 - 1) / (2.05 - 1 + 2.25 - 1))
= 100 × (1.25 / 2.30)
= £52.32
Stake on Outcome B: £100 − £52.32 = £47.68
Calculate Potential Returns
If Outcome A Wins:
- Return = £52.32 × 2.05 = £107.28
- Profit = £107.28 − £100 = £7.28
If Outcome B Wins:
- Return = £47.68 × 2.25 = £107.28
- Profit = £107.28 − £100 = £7.28
By distributing your total stake of £100 between the two outcomes, you ensure that your profit is equal regardless of which outcome wins. This same principle applies to events with more than two outcomes (e.g. football match odds).
2. Bookmaker-to-Betting-Exchange Arb
Here’s a simplified example of an arb involving odds from a bookmaker and a betting exchange. For the sake of simplicity, the commission charged at the betting exchange has been omitted from the calculations.
This type of arbitrage bet usually involves two bets, with the betting exchange used to hedge the bookmaker stake. The principle is simple: back high, lay low.
Example: Football Match Odds
- Bookmaker odds for Team A: 10.0
- Betting Exchange lay odds for Team A: 9.0
Whatever stake you decide to place on Team A at the bookmaker, a corresponding lay stake must be placed on the same selection at the exchange to cover all other outcomes in one go.
With a £10 bookmaker bet, and ignoring commission, the optimal lay stake for a balanced arbitrage bet is £11.11. The next section shows how this is calculated.
Calculate Potential Returns
If the Bookmaker Bet Wins:
- Bookmaker return = £10 × 10.0 = £100 (profit £90)
- Exchange loss = −((£11.11 × 9.0) − £11.11) = −£88.88
- Total profit = £90 − £88.88 = £1.12
If the Exchange Lay Bet Wins:
- Bookmaker loss = −£10
- Exchange profit = £11.11 (kept from the losing backer at 9.0)
- Total profit = £11.11 − £10 = £1.11
By adjusting the lay stake at the betting exchange, you ensure that your profit is nearly equal regardless of which outcome wins. The slight difference in profit, due to rounding, remains minimal.
3. Calculating Lay Stakes for Exchange Arbs
To guarantee a profit from an arbitrage bet against a betting exchange, you need to distribute your stakes so that your profit remains consistent regardless of the outcome.
Here’s how to calculate the lay stake for the bookmaker-to-betting-exchange example above.
Define the Variables
- BookieWin = 90 (the potential profit if the bookmaker bet wins)
- BookieLose = −10 (the potential loss if the bookmaker bet loses)
- ExchangeOdds = 9.0 (the lay odds)
Set Up the Equation
BookieWin − (ExchangeOdds − 1) × LayStake = BookieLose + LayStake
Substitute and Solve
90 − (9.0 − 1) × LayStake = −10 + LayStake 90 − 8 × LayStake = −10 + LayStake 100 = 9 × LayStake LayStake = 100 / 9 = 11.11
To ensure a consistent profit regardless of the outcome in this example scenario, you must lay approximately £11.11 on the exchange. This balances the profit between the bookmaker’s bet and the exchange’s lay bet.
The Pros of Arbitrage Betting
Arbitrage betting offers several genuine advantages, including the potential for “risk-free” returns (on paper), low reliance on sporting expertise, flexibility across markets, and scope for partial automation.
1. Potential for Lucrative Returns
When executed efficiently, arbitrage betting can generate a steady stream of small, consistent profits. Individual returns from each arbitrage bet are modest, but the cumulative effect of regular, high turnover can be meaningful.
2. Risk-Free Methodology
Unlike traditional betting, where outcomes are uncertain and risks are high, arbitrage betting aims to remove the risk of loss. By backing all possible outcomes at suitable odds, you secure a return regardless of who wins — provided your calculations are correct and the odds remain in place while you stake each side.
3. No Advanced Knowledge Required
You do not need advanced betting or sporting knowledge to start arbitrage betting. A basic understanding of how odds work and how to use arbitrage calculators or software is usually enough to implement the strategy competently.
4. Market Opportunities
Arbitrage betting can be applied across many sports and markets. Whether you are interested in major sports or niche events, pricing differences can arise almost anywhere there is competition between bookmakers.
5. Potential for Automation
The use of specialised tools makes arbitrage betting more efficient. Software (e.g. Betfair trading tools) and calculators can scan prices, flag opportunities, and handle stake sizing, reducing the amount of manual work required.
The Cons of Arbitrage Betting
Despite its appeal on paper, arbitrage betting comes with several practical drawbacks that limit how far you can take it.
1. Rapidly Changing Odds
The long-term viability of arbitrage betting is constrained by how quickly odds move. Bookmakers adjust their prices to close arbing gaps, so opportunities are brief even in smaller markets. As trading technology has improved and pricing has become more aligned, viable arbitrage spots have become rarer and more competitive — and many now disappear before you can get all legs matched.
2. Account Limitations and Closures
Frequent engagement in arbitrage betting often leads to account limitations or closures by bookmakers. Consistently taking standout prices or exploiting every misaligned line marks you out as unprofitable, and most soft books respond by cutting stakes or shutting you down altogether.
3. Time-Consuming
Finding and placing arbitrage bets takes time, especially without automation. You need to monitor an arb finder frequently, keep multiple accounts funded, and be ready to act immediately when an opportunity appears. The time commitment can be substantial compared to the profit per individual arb.
4. Potential for Human Error
Arbitrage betting relies heavily on precision. A mistyped stake, a rushed calculation, placing legs in the wrong order, or failing to get one side matched can turn a theoretically risk-free position into a straightforward gamble — often at poor odds.
5. Complexity in Managing Multiple Accounts
Managing accounts with various bookmakers can become complex. Each account may have different withdrawal limits, deposit requirements, payout times, and other restrictions. Keeping track of balances, KYC checks, and payment methods adds another layer of admin to your arbing routine.
6. Hidden Structural Risks (Voids, Palps & Rule Changes)
Even perfectly calculated arbs are vulnerable to factors outside your control:
- Voided bets: If one side of an arb is voided (e.g. due to player withdrawal or event cancellation) and the other bet stands, your “risk-free” position becomes an unhedged exposure.
- Palpable errors: Bookmakers may declare a “palp” (obvious error) and void or adjust bets that were placed at incorrect odds.
- Rule changes and dead-heats: Sports like horse racing have complex settlement rules (dead-heats, Rule 4 deductions) which can alter your expected returns and disrupt what looked like a clean arb.
These structural risks don’t invalidate the maths behind arbing, but they do mean the strategy is not entirely risk-free in practice.
How Much Can You Make from Arbitrage Betting?
The amount you can make from arbitrage betting depends on several factors — primarily how quickly your accounts are detected and limited by bookmakers, and the size of your bankroll.
Typically, the profit margin per arbitrage bet ranges from around 1% to 5% of the total stake. For example, with a £100 total stake, you might expect a profit between £1 and £5 per arb. The key to maximising earnings lies in the volume of bets you can place before encountering restrictions. Higher turnover generally leads to greater profits, while a smaller volume results in proportionally smaller returns.
In essence, individual profits are modest, but consistent, high-volume arbing can still build up — at least until your accounts begin to be restricted.
How Bookmakers Detect and React to Arbing
Arbitrage betting can be a concern for bookmakers, although the extent of their concern can vary. Theoretically, a bookmaker’s overround — the built-in margin in the odds — ensures that they make a profit on every event, even if a small percentage of customers are engaging in arbitrage betting.
In reality, arbs only appear when one or more bookmakers or exchanges stray away from the prevailing market price, effectively offering “too big” a number. That is not part of the business plan. So books are highly motivated to remove these opportunities quickly and to identify customers who consistently take them.
Bookmakers therefore monitor behavioural patterns that are associated with arbing and other advantage play. These can include:
1. Large Deposits and Stake Sizes
A sudden large deposit, such as £1,000, followed by placing maximum stakes on certain bets, is a red flag. Such behaviour is not typical for casual bettors and suggests a systematic or professional approach.
2. Unusual Stake Amounts
Arbers often place non-standard stake amounts, like £5.42, due to stake calculations or restrictions imposed by bookmakers. Regular bettors usually place round stakes; frequent bets with odd amounts can indicate use of a betting strategy or automated software.
3. Betting Patterns
Patterns such as consistently taking outlier prices, betting early in markets (e.g. overnight or first thing in the morning), or focusing on high, volatile odds can all signal arbing or value betting.
4. IP Address and Device
Bookmakers can analyse IP addresses and device fingerprints. If a bettor who has previously been restricted for arbing signs up for a new account using the same IP address or device, bookmakers may link this new account to past activity.
5. Advanced Technology
Bookmakers use advanced fraud prevention tools, like those from Iovation, to detect and mitigate arbitrage betting. These tools analyse various indicators to identify potential arbing, making it difficult for arbers to disguise their activities.
Additionally, bookmakers have access to specialised software similar to that used by professional arbers, which helps them spot players frequently betting on arbitrage opportunities, leading to account limitations or closures.
For more on this, see: avoiding bookmaker account limits and closures.
Is Arbing Legal?
Arbitrage betting is legal, as long as the bettor complies with local gambling laws and regulations. The practice itself does not violate criminal laws, but it is often prohibited or discouraged by bookmakers, who include terms and conditions that allow them to limit or close accounts they deem unprofitable.
While bookmakers dislike arbitrage betting because it can undermine their profitability, exchanges like Betfair often welcome arbers because their activity adds liquidity to the betting markets. The core principle of arbing — exploiting discrepancies in odds — clashes with the bookmaker’s goal of setting odds that generate profit through their overround, but it does not constitute a legal offence.
The existence of various arbing software tools, such as RebelBetting, underlines that arbitrage betting is widely accepted, even if it is not endorsed by bookmakers themselves.
Tips for Arbitrage Betting
While the basic concept — backing high and laying low — is straightforward, executing it effectively involves overcoming several practical challenges.
1. Manage Your Bankroll Effectively
To keep arbitrage running smoothly, you need to manage your bankroll wisely. Make sure you have sufficient funds in both your bookmaker and exchange accounts to cover the back and lay bets. Keeping a dedicated bankroll for arbing will help you stay organised.
2. Act Quickly and Efficiently
Arbitrage opportunities are fleeting, so it is essential to act swiftly. Use arbing software, such as RebelBetting, to receive real-time alerts about potential opportunities. Prepare in advance by logging into your bookmaker and exchange accounts and ensuring that your balances are adequate for placing bets.
3. Stay Disciplined
Arbitrage betting requires a disciplined approach. Treat it as a business rather than a recreational activity. Stick to your staking rules, avoid chasing missed opportunities, and do not deviate from your plan because of short-term frustrations.
4. Be Aware of Account Limitations
Frequent arbing can lead to account restrictions or closures. To mitigate this risk, use multiple bookmaker accounts to spread your betting activity. Regularly monitor your accounts for any signs of restriction and be prepared to switch to alternative bookmakers if necessary.
5. Check the Terms and Conditions
Arbitrage betting can sometimes lead to complications with terms and conditions. It is important to thoroughly read and understand the rules of your bookmaker accounts to avoid any issues that could impact your ability to place bets or withdraw funds smoothly. Address any disputes or account problems promptly by contacting customer support.
If the challenges of arbitrage betting seem daunting, you might want to explore other approaches to betting. For additional ideas, check out my strategy section.
Arb-Friendly Platforms
If you are keen to continue capitalising on market discrepancies — but in a way that limits the impact of soft bookmakers restricting you — the following avenues may help:
- Bet Brokers: Access sharp bookmakers such as Pinnacle and PIWI247 via intermediaries. Brokers reduce profiling risk and offer higher limits.
- Betting Exchanges: Platforms like Betfair or Matchbook allow you to back and lay prices directly against other bettors, avoiding bookmaker restrictions entirely.
- Sharp Sportsbooks: Low-margin operators such as Pinnacle and Bet105 are far more tolerant of skilled bettors than traditional soft bookmakers and are less likely to impose stake limits.
For a broader overview of operators that welcome successful bettors, see my guide to winner-friendly betting sites.
Arbitrage Betting in the US & Canadian Markets
While arbitrage betting is feasible in the US and Canada, it comes with some challenges:
- Fewer Tools: Unlike in Europe, where numerous specialist services and tools are available to identify arbitrage opportunities, the US and Canadian markets have fewer resources. A stand-out service in these regions is the arb finder from OddsJam.
- Tighter Regulations: The legal landscape for sports betting in the US and Canada is complex and varies by state or province. Bettors must ensure they operate within legal frameworks, which can limit the sportsbooks available for arbitrage opportunities.
- Bookmaker Restrictions: Like in Europe, sportsbooks limit or ban accounts suspected of engaging in arbitrage betting. This can make it difficult for bettors to maintain multiple accounts or place the larger bets necessary for arbing to be worthwhile.
For US and Canadian bettors who still want to hunt down price discrepancies efficiently, OddsJam is one of the few dedicated tools that covers a wide range of regulated sportsbooks and surfaces potential arbs in real time. It doesn’t remove the issues of regulation or limits, but it does simplify the process of finding opportunities in those markets.
Does Arbitrage Betting Work With Crypto Sportsbooks?
Arbitrage betting works the same way at crypto sportsbooks as it does at traditional sites. These operators still build a margin (overround) into their prices, so the core idea is unchanged: you exploit discrepancies between two or more books (or a book and an exchange) to lock in a profit. There isn’t a special “crypto pricing model” — just standard bookmaking mechanics. See: how bookmakers make money.
In practice, some crypto sportsbooks offer competitive pricing to win market share, which can create small discrepancies between them and traditional bookmakers. However, the operational reality is similar:
- Eligibility & jurisdiction: Availability depends on local laws; many regions restrict or prohibit crypto betting.
- Operational reality: Crypto sites can apply the same stake limits, delays, and account actions as “soft” books if you arb aggressively. Plan for limits and spread activity. See: avoiding limits & closures.
If crypto betting is legal where you live, compare options here: best crypto sportsbooks.
Which Sports Are Best for Arbitrage Betting?
Arbitrage opportunities are not evenly distributed across all sports. Some lend themselves better due to liquidity, number of bookmakers, and how quickly prices move. Others are still viable, but may involve additional considerations such as settlement rules or volatility.
Sports Where Arbing Works Well
- Football (soccer): Huge global liquidity, many bookmakers, and a wide range of markets create frequent small discrepancies — particularly on side markets and player specials.
- Tennis: Two-way markets (player A vs player B) are ideal for straightforward arbs, and prices can move quickly after news, with some bookmakers slower to react.
- Basketball: High-scoring games, frequent line changes, and multiple bookmakers often result in mismatches on handicaps and totals.
- Horse racing: One of the richest sources of arbs due to the sheer volume of daily events and the number of bookmakers pricing each race. While settlement quirks (e.g., Rule 4) require awareness, the opportunity count is extremely high.
- Esports: A developing market where pricing models vary significantly between bookmakers, occasionally producing wide discrepancies.
Sports Where Arbing Is Less Practical
- Low-liquidity niche sports: Odds move sharply on small stakes, making it hard to lock in an arb before the price shifts.
- Player specials and other niche markets: Often heavily restricted and prone to swift limit cuts or bet refusals, which increases the chance of an unfilled leg.
In general, the most reliable arbing opportunities come from high-liquidity sports where many bookmakers compete closely on the same markets.
Similarities Between Arbitrage and Matched Betting
Matched betting is essentially a form of arbitrage betting that capitalises on bookmaker bonuses. At their core, both strategies aim for guaranteed profits by covering all possible outcomes. While arbitrage betting exploits differences in odds across various bookmakers, matched betting leverages free bets and promotional offers.
Both approaches require risk management by ensuring a profit regardless of the event’s result. They also rely on specialised tools — matched betting uses bonus calculators, whereas arbitrage betting employs odds trackers. Effective management of multiple accounts is crucial in both methods to maximise opportunities.
Also see my article: Matched Betting Explained.
Similarities Between Arbitrage and Value Betting
Arbitrage and value betting share a common objective: both aim to exploit odds with positive expected value (EV). Arbitrage betting achieves this by covering all possible outcomes of an event to ensure a profit regardless of the result, while value betting seeks odds higher than the true probability, accepting some risk for potential gains.
Interestingly, both strategies often end up selecting odds that beat the Starting Price (SP) or closing line value — because both methods exploit inefficiencies in the prices offered by bookmakers. From the bookmaker’s perspective, both arbers and value bettors challenge their ability to set accurate odds, thereby leading to account restrictions or closures.
Also see my article: Arbing vs Value Betting.
Alternatives to Arbing
For many bettors, the long-term friction of arbing (account closures, time cost, structural risks) makes other approaches more attractive.
- Following Verified Tipsters: A simpler way to find positive-EV bets, with less risk of account scrutiny than arbing.
- Sports Trading: Bet on exchanges like Betfair, adjusting positions as odds fluctuate. Offers flexibility and potential profit but requires market knowledge and quick reactions.
- Value Betting: Find and place bets where odds exceed the true probability of an outcome. Long-term gains are possible with accurate odds assessment and effective bankroll management.
If you’re considering taking any of these strategies more seriously, you may also find it useful to read my guide on whether you can make a living from sports betting.
Is Arbing Worth the Effort in 2025?
Arbitrage betting is mathematically sound, but in practice, it’s rarely a viable long-term prospect. Bookmakers’ advanced technologies quickly detect and restrict arbers, leading to rapid account closures.
If you don’t care about keeping your bookmaker accounts active and are prepared for them to be closed down, there are short-term profits to be made — no doubt about it. However, for many bettors, the obstacles and time investment will outweigh the potential benefits.
If you’d prefer more sustainable ways to beat the odds without constantly fighting limits, explore my guides on value betting, sports trading, and following verified tipsters, or see which betting sites are most friendly to winners.
Originally posted on 20 June 2016 and last updated 23rd July 2024.
- Unibet Review | Is The Bookmaker’s Hype Justified? [2025] - December 5, 2025
- QuinnBet Review | Is It A Safe Bookmaker? [2025] - December 5, 2025
- BetInAsia Review|Secure Access To High Limit Asian Sportsbooks [2025] - December 5, 2025