Over the past decade, punters have been introduced to a whole new world with the advent of betting exchanges. These platforms give punters the ability to lay a horse to lose a race, effectively allowing anyone to take on the role of a bookmaker. This innovation has opened up opportunities for bettors to take any bet they want on the exchanges. Even though betting exchanges have been around for some time and are now well-established, this area continues to grow. In the coming years, we can expect to see many more punters drawn to exchanges as they expand, which will help boost liquidity and make these platforms even more attractive for betting.
Understanding the Basics of Laying on Betting Exchanges
When you lay a selection on a betting exchange, you are accepting a bet from another punter on an outcome you believe will not happen. The person placing the bet is backing the selection, while you, by laying, are acting like the bookmaker, betting that the selection will lose. If the punter wins, you will have to pay them out at the odds given, just as a traditional bookmaker would.
Being able to lay a bet gives punters a powerful tool, especially in horse racing. When you lay a horse, you have the advantage of the entire field running for you, whereas if you back one to win, you are only relying on that one horse. If you believe a particular horse is unlikely to win a race, laying that horse gives you much better odds of success than trying to pick one to beat it. Thanks to betting exchanges, this option is now available to everyone.
When you place a lay bet, the process on exchanges is pooled, meaning your lay of £10 could be matched by one person or several smaller bets adding up to £10. This allows punters of all sizes to participate on a level playing field, and you won’t know who you’re up against on the exchange.
Why Many Punters Focus on Laying Odds-On Favourites
Many smaller bettors who may not have large betting banks often focus on laying short-priced favourites, especially those with odds-on prices. When laying odds-on favourites, the risk-to-reward ratio is actually in the favor of the layer, despite acting as the bookmaker. You will receive more if the favourite loses than you will pay out if it wins.
For example, if you lay a £10 bet at 1.5 (or 1/2 in fractional odds), you would only need to pay out £5 if the bet loses. However, if the selection loses and your lay is successful, you will win the full £10. As a result, odds-on favourites become a more profitable proposition for layers, and many punters choose this strategy.
Laying odds-on favourites can be a great way to start with limited funds. To lay a £40 bet at 1.5, for example, you only need £20 available in your account to cover potential losses. Compare that with laying a selection at 5.0 (4/1), where you would need £160 to cover a £40 bet.
The Importance of Managing Your Betting Bank
One of the most common mistakes made by those new to laying on betting exchanges is mismanaging their betting bank. Properly managing your betting bank is crucial to avoid significant losses. Unlike backing horses, where you know your stake and potential losses upfront, laying requires more care because your losses can vary greatly depending on the odds.
When laying a bet, it’s essential to set a maximum liability—the amount you are willing to lose on any given event. For example, if you are comfortable with a £20 liability per bet, you should adjust your stakes to ensure that your maximum potential loss is £20, regardless of the odds. This might mean laying just £2 on a 10/1 (11.0) shot, while laying £40 on a 1/2 (1.5) favourite.
This method helps keep your betting bank intact by limiting your exposure to larger losses. The amount of money you stand to win will vary depending on the odds, but by setting a liability limit, you can protect your bank and avoid unnecessary risks.
Starting Small and Learning the Ropes
Transitioning from backing to laying takes time, even for experienced punters. Laying selections requires a new way of thinking and a different approach to managing bets. The best advice for those starting to lay bets is to start small, lower your stakes, and learn as much as possible during the process.
You’ll likely encounter both successes and setbacks, but the key is to learn from each experience and apply that knowledge going forward. Managing your expectations is also crucial. Laying bets is not an easy task, and it requires skill, patience, and strong bank management. If it were simple, everyone would be doing it. Those who are successful at laying have taken years to refine their strategies.
Don’t expect to master laying overnight. It’s a long learning curve, and you’ll likely make some mistakes along the way, just as seasoned layers did when they first started. But over time, as you become more comfortable with the process and develop the ability to make sound decisions consistently, you’ll find laying selections a profitable part of your betting strategy.
Laying Selections Can Be a Profitable Long-Term Strategy
Laying horses and other selections on betting exchanges can be highly rewarding if approached with the right mindset. It takes time and effort to learn, but once you become proficient, laying bets can be a powerful way to build your betting bank. By carefully managing your liability, starting with small stakes, and learning from every experience, you can turn laying into a successful strategy
