Betfair
Betfair invented the betting exchange and still runs the largest one. Where it is licensed, how the exchange differs from a bookmaker and who it suits.
Licensed in the UK, Ireland and Spain
- Founded
- 2000, London
- Owner
- Flutter Entertainment
- Licences
- UK Gambling Commission; Ireland; Spain (DGOJ) and other European markets
- Products
- Exchange, sportsbook, casino, poker
Licence and background
Betfair launched in 2000 with a simple idea: let customers bet against each other and charge commission on the winnings. It merged with Paddy Power in 2016, and the group is now Flutter Entertainment, which also owns FanDuel and Sky Bet. Betfair holds a UK Gambling Commission licence and local licences in Ireland and Spain.
The exchange is not available to US residents. In Spain it runs on a separate pool with far less money in it.
What you get
On the exchange you can back a selection, as with a bookmaker, or lay it, which means betting that it will not win. Prices are set by other users, so on busy markets they are usually better than fixed odds, before commission. You can also trade out during an event to lock in a profit or cut a loss.
The sportsbook is a conventional fixed-odds product for those who do not want the exchange. Casino and poker share the wallet.
Our take
The exchange is the reason to open an account. It rewards people who compare prices and are comfortable with a busier screen. Liquidity is excellent on football, racing and tennis and thin on minor sports. Winning customers are not restricted on the exchange as they can be at bookmakers, though the heaviest winners pay a higher commission rate.