What Is a Betting Exchange?

A betting exchange is a platform where players bet against each other rather than against a bookmaker. Users set the odds; the exchange matches opposing bets and takes a small commission from the winning side.

Back bet

Betting that an outcome will happen — the same as a bet at a traditional bookmaker. For example, if you back a team for €100 at 2.10 and it wins, you make €110 net profit (before commission).

Lay bet

Betting that an outcome will not happen. Here you take the bookmaker’s role. If you lay €100 at 2.10, you win €100 if the team does not win, and pay €110 if it does. The amount you could have to pay is called your liability.

Commission

Exchanges only charge commission on your net winnings in a market. The rate is usually between 1% and 5% depending on the exchange. No commission is charged on losing bets.

Liquidity

The amount of money waiting to be matched in a market. With high liquidity even large bets are matched quickly at the odds you want. Liquidity is highest in major leagues and tennis.

Matched and unmatched bets

Your bet is matched when someone on the other side accepts the same odds. The unmatched part waits; you can cancel it if you like.

Cash Out and in-play betting

Most exchanges let you bet during the match (in-play) and close your position before it ends (Cash Out), so you can lock in profit early or limit a loss.

What is a broker?

Some exchanges (such as Orbit Exchange) do not accept direct sign-ups. The account is opened through a broker, and deposits and withdrawals also go through the broker.

Updated: 9 November 2026