Unikrn’s CEO and co-founder Rahul Sood said that in the past, estimates of chances in traditional or online sports betting were starting to rough. In traditional sports, places will outsource the job of calculating chances to private companies. As expected, you have data providers who are kind of like oddsmakers, and then bookmakers with licenses for oddsmakers. The machinery is purchased from dealers in Nevada by sportsbook firms including American Wagers and Vegas Sports Consultants. Bet Radar contains a list of approved players that offer services to a favorite player.
For Unikrn this was not an option. There were no comparable places for esports betting when the company was founded — at least not one up to its expectations. To this day, according to its founder, Unikrn is the most detailed esportbook on the planet. The company had to make more but to get there was a long way. But for one League of Legends game, we took between six to nine hours to set up chances. It’s just a minute now. We centralized about 80 percent of it essentially. Then, nearly 20% of the experience is individual.
By ‘human interactions,’ Sood implies the chaos of daily esports, such as the Overwatch pro Félix’s “xQc” Lengyel, who slams homophobic taunts which bench him and releases him from a team later. Two weeks in a season, or two weeks before a game starts, are always shifting, including unexpected changes where a roster shift may occur. It’s difficult to keep up with that unless you watch the industry really.
The explanation why sportsbooks measure odds is to guarantee that hosting bets don’t risk money. If a bet is granted a 1:2 chance to place bets, for example, they will put $10 down and return $15 if they win. If someone else bets ten bucks for the other team, it is simple for the bookie to make the final payoff. Whichever side wins, the bookie must retain the $5 for the winner and compensate for the $15 bag. So if one is betting on the other side, the house would risk 5$ rather than the loser pot.
This is why betting sites want the same amount of money placed on each side of a contest, ensuring that enough is in the pot to be spent on the winners and that a fair house cut is left. Odds are about estimating the choice of bettors for who loses, not who scores. If a site struggles to determine what sort of odds are fair for the sports fans on both sides, the house ultimately loses. Sportsbooks can and will naturally adjust their odds after bettors have made bets, but as a regular correction they do not want to do so.
In the early days, Unikrn had difficulty with this balance. For them, it wasn’t easy but over time they have learnt how to do this, how to properly manage it, and now it is a very successful and very slow service.
Betway, an entrepreneur who is also conducting sports competitions, is profiting similarly. Betway Group’s head of trading, Jon Russell, stated that they receive no fee on winning bets, only stakes that fail. It is more to us to be right than to be incorrect.
Unlike Unikrn, there is an in-house esport betting program in Betway. Russell explained that the majority of the odds you’re going to be seeing on the website at any one time are created by the indoor team, which are made up of professional traders who built their own mathematical methodologies and algorithms in order to predict outcomes.
Betway Community say that if they think they have a correct prediction, they do not try to keep an even amount of bettors on both sides. They conclude that their clients’ theoretical experience is greater than anything else on the market on many instances and will actively set prices so that we earn the largest stakes on one hand. Betway happily takes chances and plays, but it’s always in the best interests of bet players.