What is Pari-Mutuel Betting?

Pari-mutuel betting, also known as pool betting, is a unique form of betting started in 1867. Instead of placing wagers against a bookmaker, you’re placing wagers against other bettors who have placed wagers on the same event. All wagers go into a pool, and the pool is shared equally between those who make the winning selection. As might be expected, a small percentage of all total wagers is deducted by the “house.” When it comes to pari-mutuel betting, the house is typically a state run organization or a private company that provides pari-mutuel betting services. At its core, pari-mutuel betting is a type of betting system which pays out winnings in a different way compared to the odds system. Instead of individual bets having individual returns, it works differently. Pari-mutuel betting is a system where the odds change depending on how much money is placed on each selection, but the kicker is that they can change even after you have placed your bet. The lack of fixed odds in pari-mutuel bets can make it difficult to use a sports gambling strategy. Pari-mutuel betting is legal in most parts of the world, including New York, and used in any sport with a ranked finish.

Pari-Mutuel Bet Types

In the horse race example we included above, we used a win wager. This is considered the most popular wager when it comes to pari-mutuel betting. However, there a several other types of bets you can use as well.

Each of them will function in the same way when it comes to calculating the potential payouts. However, they will differ greatly in terms of outcomes. 고스톱

Let’s take a look at some examples.

Place Wager

Show Wager

Across the Board

Each Way

Exacta

Duet/Any2

Trifecta

These are the most popular types of bets you will find in pari-mutuel betting. These bet types are nearly impossible to get right, but they offer very appealing payouts, which makes them so popular around the world.