Last Updated on July 16, 2022
Bitcoin + Sports Arbitrage – a New Way to Increase Your Bitcoin Bank
Bitcoin arbitrage betting is one of the leading speculative ways to earn more crypto out there, thanks in part to just how useful they can be. Also known as cryptos, these coins are designed to serve a purpose. It’s often to hold value compared to something and maintain a specific sense, although it ranges slightly.
Bitcoin was designed as a decentralized currency, Ethereum was designed as a new development platform, and Internet Computer was built as a decentralized internet. As crypto grows in popularity and value, more people have invested in the coins or boosted their value. With an increase in these factors, more places and businesses have started accepting cryptocurrencies as a currency, allowing companies like Tesla to accept Bitcoin. There are rumours going around that bet365 will accept Bitcoin as a payment option.
Since then, acceptance rates have significantly increased, making their way into betting sites and online gambling communities. Thanks to low fees, quick withdrawal times, decentralization, privacy, and ease of access, cryptocurrencies are great for betting. So, with that in mind, let’s look at how using cryptocurrency for sports arbitrage betting can help increase your Bitcoin bank.
So, what is sports arbitrage?
Sports arbitrage betting (or sports arbitrage/bitcoin arbitrage betting) is a way to use mismatched odds to guarantee a profit or no loss. Usually, these scenarios are infrequent, lasting just seconds or minutes before being corrected. The thing is, if done fast enough, you can take advantage of these lapses to make a bit of a profit with incredible consistency.
How does it work?
Arbitrage is based around the concept of investing on both sides of an event, where the combined win and loss result in a gain. It’s an incredibly reliable way of making little gains in profits, which you can then withdraw at any point as a gain. So while arbitrage sounds like a ‘get rich quick scheme, with almost guaranteed profits and prevented losses, it’s not.
Bitcoin arbitrage betting works by betting on two sides of an event winning. Occasionally, certain bookmakers are behind on odds or have locked them in when something happens. When this occurs, another bookmaker might adjust their odds to reflect another team winning, meaning that both sides have different expected teams winning.
This doesn’t happen too often, or for too long, as most times the bookmaker catches up. Let’s look at an example:
- Tennis Player A is expected to win with odds of 1.64 (MyStake) 1 and 2.
- Suddenly, Player A breaks their arm, and now Player B has an odds of 2.8.
- BM 1 and 2 should update their Player B odds to 2.8 since Player A is expected to lose.
- But, BM 2 is running a bit slow and forgets to update the odds for a few minutes.
- BM 1 has Player B odds of 2.8, while BM 2 has Player A odds of 1.64.
- If you have $1,000 to bet, now you can bet on BM 1 with Player B winning and BM 2 with Player A winning.
- Using a program, you can now bet $630.63 on Player A’s 1.64 odds and $369.37 on Player B’s 2.8 odds.
No matter what happens, you’ll earn:
- $34.23 in profit | if Player A wins (1.64 * 630.63 = $1,034.23 – $1,000)
- $34.23 in profit | if Player B wins (2.8 * $369.37 = $1,034.23 – $1,000)
Thanks to the quick calculations of an arbitrage program, you’ve taken advantage of that little mistake in timing and have made an absolute guaranteed $34.23 in profit for a 3.423% profit. While that’s not a lot if you do it once a month, with enough timing and high enough odds (these were an outlier), you’ll be able to keep up significant profits. Bitcoin arbitrage betting is that easy, although it’s tough to do by yourself or quickly. It would help if you had a computer and quick fingers to get a bet completed, ignoring the need for a bookmaker’s mistake.
This example is just such: an example. Other scenarios may have a profit of 20%, while others hold gains of just 1% or breakeven. Most arbitrage bets are designed to build profits, but they frequently break even. That’s why investing your time into learning about how they work and how you can maximize profits is essential. Bitcoin arbitrage betting is, after all, a skilled task, even with how easy it is with computers and on paper.
Arbitrage Betting Software
How can this increase my Bitcoin bank?
The real secret of sports arbitrage betting is its long-term potential. You’re dealing with little incremental gains, which can create some great long-term results. Using cryptocurrencies allows you to get returns in a variety of currencies and lets you gain value on the increase in a coin’s market capitalization.
Remember, cryptocurrencies are traded, meaning that you’ll be dealing with a volatile value. While that means that your money’s worth can drop, it also means that it can rise. Using sports arbitrage alongside cryptocurrencies allows you to not only cancel out and outdo a coin’s drop but can also tell you’ll gain compound interest on your already growing value. So although it can be challenging to find the right place to use arbitrage with cryptos, it's a win-win.
You may want to convert cryptocurrencies into fiat currency, invest that, find a crypto-friendly arbitrage site, or anything in-between. It’s easy to accrue faster gains and bigger bonuses if you focus on the digital version of cryptocurrencies. That’s easier than, say, using it as fiat and moving the money to a debit card, investing it, then putting the gains back into a bank account. In order to find and take bigger gambling offers, you may try to use casinos not on GamStop.
Top Betting Sites for Arbitrage Betting
How can I use cryptocurrencies when betting online?
There are a lot of sites that accept cryptocurrencies, although there are only a few notable ones that you can trust. Remember, cryptocurrencies are decentralized, which means that if a small amount goes missing from you, there’s not much you can do to find the perpetrator. As such, there are a few things you need to look for:
- A good history | many sites have had experiences with breaches, hacks, security issues, or other problems, so it’s essential to do your research first.
- Other payment methods | if a site offers cryptocurrency payment exclusively, then make sure that it’s for consistency, not so that they can remain completely anonymous. Plus, make sure they have cryptocurrency methods that fit what you have in mind. Most sites at least accept Bitcoin, although if you own heavy Ethereum or Litecoin reserves, make sure they accept it too.
- Arbitrage betting | of course, you can’t use arbitrage betting to build your cryptocurrencies’ values without actually finding an arbitrage site. Ensure that the site you’re looking at actually offers arbitrage betting, preferably an automatic one.
- Quality programs | to say, some services and programs are better than others. It’s best to verify the company’s services you’re using before you put money into it. Try some of the most famous – RebelBetting or BetBurger.
You also have the potential to run arbitrage bets through forums, software, and alerts, and your research, meaning that you might be able to make your returns outside of an established service. All you need is access to a betting service and quick access to arbitrage bets. That’s it.
What potential returns can I get?
According to multiple sources, the average person can make about two good arbitrage bets per day, with returns of around 2%. Of course, the actual result depends on your luck and other scenarios, meaning that yours may be much larger or smaller. Bookmakers don’t appreciate arbitrage betting, so depending on the bet, you may have your canceled (that’s why the average is only two bets per day).
Going from the average, though, you can collect short compound interest. The average ROI (or return on investment, the actual profit) sits at 8% to 13% a month. So while you can earn multiple 2% gains per day, you may end up performing lower than usual or having your bet rejected in on-off situations. At 10% per month, though, you can create yearly returns of upwards of 210%. Higher, and you can potentially make your money multiple times every few months.
+ Cryptocurrency Gains
Of course, that’s ignoring cryptocurrencies’ value changes—cryptocurrency returns per month range from between -30% per month and +30%. So there’s a significant gap, although that’s where hedging and compound investment kick in. For example, let’s say you lose 50% of your crypto’s value, but you gain 100% on arbitrage betting. So, in reality, you’ve broken even or gained a small amount.
The Power of Compounding Growth
On the other hand, if you were up 50% and you gained 100% on arbitrage betting, then suddenly you’re up 200%. Many risks are involved, but successful arbitrage bets can help prevent losses and make much more noticeable gains. Again, there’s not enough stressing about volatility. You may make a lot of money one day and lose half your value the next day. Still, bitcoin sports arbitrage is one of the safest and most lucrative ways to build up your Bitcoin and cryptocurrency value.
Can I use other cryptocurrencies?
Yes! Maybe. Depending on the site or platform you’re using to invest in, it depends. Some sites accept Bitcoin exclusively, thanks to its ubiquity with the word “cryptos.” Others take Stellar Lumens, Ethereum, Cardano, Avalanche, Tezos, Dogecoin, and even more. It all depends on the vendor and what they’re willing to accept as collateral.
Some cryptos have more real-world value than others, and the higher the potential utility, the greater the chances of them accepting. Of course, you could also move your cryptocurrencies into fiat but don’t. That’s completely ruining the point of these benefits:
What benefits come from using bitcoin for arbitrage betting?
There are a few significant benefits to using cryptocurrencies for arbitrage betting, alongside building your Bitcoin bank. Of course, you can similarly create your money by using dollars, pounds, Euros, or the like, but there are a few benefits to specifically building your cryptocurrency value.
Deposits into a betting software usually don’t take too long, but on oft occasions, they can have few-hour or even day-long deposit times. But, again, deposits generally don’t have any issues with speed — withdrawals are where cryptocurrencies shine.
Bitcoin takes between seconds to an hour to transfer, with about 4.6 transactions per second. That’s a massive difference, although it’s much faster than the industry average of around 2-7 days. Of course, we’d be ignoring altcoins, though (i.e., cryptocurrencies that aren’t Bitcoin), like Avalanche. Avalanche can run at 4,500 transactions per second, with a version to run at 20,000+. So you’d be looking at sub-second withdrawal times, allowing you to build gains quickly.
While this might sound counterintuitive after talking about speed, cryptocurrencies’ size lets sites set higher deposit and withdrawal limits. This means you’ll be able to put in and take out thousands worth of profits instead of a few hundred with other payment methods. Eventually, without these higher deposit and withdrawal limits, your gains would be capped at a few hundred dollars a week.
Using a coin like Bitcoin or Ethereum allows you to collect gains in the thousands, which, while still capped, results in much higher yields than the hundreds proved by other solutions. But, again, there are still limitations, although not nearly as heavy.
Bitcoin has a 99.986626% uptime, with just two downtime events. One lasted 8 hours and 27 minutes, while the other lasted 6 and 20 minutes. Even if you use card giant Visa, they had an international crash that lasted hours and affected millions. Plus, you have issues with transaction giants, like PayPal or Stripe, and the problems compound. Include the case of your card being rejected, and you can see how cryptocurrencies would prove reliable.
Not only do you not have to attach your credit card information or bank details, but you also have easy tracing to the company you’ve traded your crypto to. These transactions are also anonymous, and you can’t have an outside source steal your Bitcoin information (if you’re careful), unlike an easy credit card number slip.
Additionally, you have the ability to stay protected from price volatility, both in the form of building profits on your investments and conversions. For example, many websites and sports arbitrage products convert your cryptocurrencies to USD, GBP, or Euros, which not only prevents you from losing money but allows you to reconvert for capital gains at the end.
This one is straightforward. Since cryptocurrencies’ values are constantly shifting, you can gain additional income against the gains from bitcoin arbitrage betting. That’s it. Bitcoin, for example, has gathered an average annual return of 408.8%, even with 2018’s crash of 72.6%. That should put potential gains into perspective, as arbitrage adds additional revenues atop these cryptos’ boosts.
Is it illegal (or safe) to arbitrage bet with cryptocurrencies?
Neither arbitrage betting nor cryptocurrencies are illegal in the vast majority of countries. Less than a dozen have either old laws prohibiting digital currencies or betting arbitrage. Luckily, these are usually smaller countries that have already banned gambling or betting online.
Again, this also depends on your situation, as scenarios and legality vary depending on where you live and the current political and economic climates. Generally, though, neither of these are illegal. Still, some sketchy sites can do illegal things with your cryptocurrencies or investments, so be careful.
As for bitcoin arbitrage betting, it is not an illegal or unsafe activity. You’re not dealing with any illegals or sketchy parts of the internet with arbitrage betting, as it’s just betting on two sides of an event with two bookmakers. Some sites will discourage and/or block arbitrage betting, and most bookmakers are against arbitrage betting. However, they most likely can’t pursue anything against you unless stated in their terms and conditions.
It is generally perfectly safe to deal with arbitrage betting and cryptocurrencies.
Is it worth using cryptocurrency for sports arbitrage betting?
It depends on your situation. However, I believe that it’s a great way to add a supplemental income alongside your cryptocurrency investments, which can help decrease losses and boost gains. After all, who doesn’t like easy money?
There’s the added benefit that this easy money isn’t sketchy either — it’s perfectly legal, and the real difficulty comes in the math and timing required to pull off an arbitrage bet. Well, that and finding an arbitrage bet in the first place. Even still, it’s working in terms of safety, speed, potential gains, and potential hedging against losses, as the cryptocurrency makes fiat arbitrage that much easier.
With the potential for gains in the double digits atop your current crypto gains, it’s tempting. It’s just important to make sure that neither arbitrage betting nor cryptocurrencies are marked as illegal or discouraged in your country. Some politicians view cryptocurrencies and betting as dangerous things because they don’t understand them.
Overall though, I do believe that it is worth using cryptocurrency for sports arbitrage betting instead of building your Bitcoin bank. Of course, this works with other cryptocurrencies, not just Bitcoin, but it’s easily the most accepted.