Sports betting arbitrage—often called "arbing" or "sure betting"—is a strategy that allows bettors to guarantee a profit by wagering on all possible outcomes of a sporting event at odds that ensure a win no matter what happens. This is possible because different sportsbooks sometimes offer slightly different odds for the same event, creating arbitrage opportunities.
How the Arbitrage Process Works
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Arbitrage bettors open accounts with multiple sportsbooks (often 10 or more) to access a wide range of odds.
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They use specialized tools or subscription services, like OddsJam, to quickly identify profitable discrepancies in odds between these platforms.
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When an arbitrage opportunity is found, the bettor places calculated bets on each possible outcome across different sportsbooks. For example, betting on both "over" and "under" for a specific player’s performance, but with different bookmakers.
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The math is set up so that, regardless of the outcome, the combined payouts from the winning bet(s) will always exceed the total amount wagered, locking in a small profit.
Example
Suppose you bet $100 on one outcome at Bookmaker A and $130 on the opposite outcome at Bookmaker B. No matter which side wins, your payout will be about $249–$250, netting you a guaranteed profit of $19–$20 on a total wager of $230.
Potential Earnings and Requirements
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Most arbitrage bets yield a profit margin of 3–4% per bet.
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With a starting capital of $20,000 and 1–2 hours of work per day, one bettor reported earning $2,000–$4,000 per month in profit.
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Even with smaller amounts, profits scale proportionally: $1,000 might net $30–$40 per cycle, while $100 would yield $3–$4.
Risks and Limitations
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Account Restrictions: Sportsbooks monitor for arbitrage activity and may restrict or limit accounts if detected, particularly if you consistently bet on obscure events or place large wagers. Most arbitrage bettors find their accounts limited within a week or two, though some platforms may act within days.
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Legality: Arbitrage betting is legal in many states, but always check local regulations before participating.
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Taxes: Winnings are subject to taxes, which can take a significant portion of profits (often around 20%).
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Time and Capital: Success requires significant upfront capital and ongoing time to monitor odds and place bets quickly, as opportunities can disappear rapidly.
Why Sportsbooks Tolerate Arbitrage
While sportsbooks lose money to arbitrage bettors in the short term, they also gain valuable data. Studying arbitrage activity helps them adjust and tighten their odds, making their platforms more resilient in the long run.
Is Arbitrage Betting for Everyone?
Arbitrage betting is not a get-rich-quick scheme. It requires diligence, quick decision-making, and a willingness to have accounts restricted or closed. However, for those with the necessary capital and time, it can be a steady, low-risk way to generate extra income.
In summary, sports betting arbitrage is a legal, low-risk side hustle that leverages differences in sportsbook odds to guarantee profit, but it comes with practical challenges like account restrictions, tax obligations, and the need for significant capital and time investment.