Matched Betting is a technique whereby we cover all outcomes of an event in order to extract profit from the bonuses and incentives offered by bookmakers. This became possible with the creation of betting exchanges. These betting exchanges allow users to both set their own odds and accept odds offered by other people. Rather than rely on a built in margin in their bets to make a profit, they take a percentage of any winning bet. The key aspect of this is that as well as betting for a specific outcome to happen, we are also able to bet against a specific outcome (known as a LAY bet).
Typically in Sweden, if we sign up and deposit 1000kr with a bookmaker they will give us an extra 1000kr bonus. Using Matched Betting, we will place 2 bets. The first bet for a specific outcome with the bookmaker and the second bet against the same outcome with the Exchange. This way, whatever happens these 2 bets will cancel each other out and when the event is settled you’ll still have the same amount of money but it will either all be with the bookmaker or all with the Exchange (depending on what side of the bet wins). If they money is all in the Exchange then the 2000kr (your deposit + the bonus money) is yours to keep. If the bet wins with the bookmaker, you generally have to place 2 or 3 more bets before you can withdraw but as long as you keep covering all outcomes, you’ll soon be able to withdraw your original deposit plus the bonus money.
This is the ideal scenario. In reality, bookmakers are aware that exchanges exist and scan them constantly so it can be difficult to find 2 bets that will cancel each other out exactly. However, with the oddsmatching software we have at Profitclub.se we constantly scan all bookmakers and exchanges to find matches. These will usually give you a guaranteed return of 95% or more on every bet, whatever the result. As half your balance is bonus money given to you by the bookmaker losing 5% on each bet still allows you to take a large percentage as profit, even if you have to do 2 or 3 bets before you can withdraw.
Matched Betting in Sweden experienced big changes in 2019 thanks to the new betting laws that came into force. These new regulations require every operator to obtain a license from Spelinspektion to be able to offer their services in Sweden. Once licensed they are subject to Swedish taxation and strict rules concerning player protection. After the initial sign up bonus, bookmakers are not permitted to offer any ongoing bonuses. These include deposit bonuses, free bets, free spins. It appears that bookmakers can still offer odds boosts although the rules concerning these is not clear. Another side effect of the regulations is that currently Betfair are the only licensed betting exchange. Previously, you had the option of using Smarkets who only charged 2% commission on winning bets whereas Betfair charge 5% (this has at least come down from the slightly unreasonable 6.5% that they previously charged). Smarkets have applied for a Swedish license but to date there has been no decision. The restrictions on unlicensed bookmakers are unfortunate from a matched betting perspective but there are still plenty of ways that we can continue to earn a regular income from bookmakers and at least now we can do it in a far safer and more secure environment.
From a matched betting perspective the regulations have greatly decreased the number of sign up bonuses available and eliminated the ongoing profitability of reload bonuses. On the plus side, there are still many sign up offers available and most of the bookmakers will allow you to do these again even if you claimed the bonus before the new regulations came into effect. There are no longer the inherent risks involved with dealing with Curacao licensed bookmakers. Perhaps most importantly, any income from bookmakers is still tax-free as long as the bookmaker has a Swedish licence.
Despite the lack of “reload” bonuses, there are still plenty of opportunities to continue to make money from bookmakers. Every bookmaker has to constantly update their odds for a huge range of events and markets. This leads to regular inconsistencies in the prices that they offer. Advanced value betting and arbitrage tools and software are available that enable you to exploit these inconsistencies. However, there are dangers. Online gambling sites are designed to draw you in and keep you gambling. With Matched Betting it is extremely important to resist any temptation to gamble. Although you might win in the short term, it won’t create value in the long term. As long as you’re disciplined, willing to learn and stick to the principles and techniques that sites like ours will teach you, you’ll be able to earn yourself a long term regular income with just a few hours a month.
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