Forum posts on another topic got me wondering about Betfair's position (if any, in the market. Do they trade themselves and boost the pools? Speaking with Ferru123, Jeff thought he read somewhere that they do. That jogged my memory and I remember reading similar with regards to their Malta license. Anyone?
rg
Do Betfair Trade ?
Betfair tapped into a goldmine when they were forced to admit that made £300k implementing cross matching without telling anybody. Who knows what else they are up to. Rounding prices? Currencies? Using third parties in the market? Betfair lost their halo as a true 'exchange' some time ago.
Its like every thing in life a little bit of info does you good like the bookies they have hands in all sorts of stables and known before most people whats going on like the people at racing post trading on the pricewise info before its issued in the paper or online its all about insider trading 
THere is no doubt that BF is trading in the inplay markets...
HiInnertube wrote:Betfair tapped into a goldmine when they were forced to admit that made £300k implementing cross matching without telling anybody. Who knows what else they are up to. Rounding prices? Currencies? Using third parties in the market? Betfair lost their halo as a true 'exchange' some time ago.
I didnt know that.
Where did you get that info from? Is there a link anywhere?
Thanks
Peter
The Gambling Commission has had under consideration a change to Betfair's practices introduced on 18 February 2008 under which Betfair General Betting Limited (BGB), a company in the Betfair group, accepted customers' bets on the Betfair Exchange in connection with a process called ‘cross matching'.
Cross matching extended the bet matching process to permit matching across different selections in the same market, with BGB acting as counterparty to allow customers' bets to be matched. Cross matching was introduced without informing customers in advance. BGB made revenues of approximately £300,000 from the inception of cross matching until the end of March 2008.
The directors of Betfair have announced today that they regret that customers were not informed of this change before it was introduced. They have given an assurance that, in future, customers will be notified of changes in practice in advance unless Betfair's general terms and conditions clearly permit a change to be introduced without prior notification.
One of the Commission's objectives is to secure that gambling is conducted fairly and openly. Although the introduction of cross matching did not breach the terms of Betfair's or BGB's licence, the Commission welcomes the assurance given by Betfair in the announcement today and considers its enquiries into this matter closed.
Cross matching extended the bet matching process to permit matching across different selections in the same market, with BGB acting as counterparty to allow customers' bets to be matched. Cross matching was introduced without informing customers in advance. BGB made revenues of approximately £300,000 from the inception of cross matching until the end of March 2008.
The directors of Betfair have announced today that they regret that customers were not informed of this change before it was introduced. They have given an assurance that, in future, customers will be notified of changes in practice in advance unless Betfair's general terms and conditions clearly permit a change to be introduced without prior notification.
One of the Commission's objectives is to secure that gambling is conducted fairly and openly. Although the introduction of cross matching did not breach the terms of Betfair's or BGB's licence, the Commission welcomes the assurance given by Betfair in the announcement today and considers its enquiries into this matter closed.
Maybe Betfair don't trade, but that doesn't stop somebody else trading on their behalf and Betfair taking a cut of that activity in return for key advantages. It must be tempting for them when they see people making good money on their accounts.
Which is probably what happend with the cross matching.
Im sure there used to be lots of people trying to grab the overrounds when they occured,
obviously it's just a case of who ever is the fastest makes the money and im sure there were one or two people making a fortune.
Until Betfair decided to take it for themselves that is, using there obvious advantages.
Im sure there used to be lots of people trying to grab the overrounds when they occured,
obviously it's just a case of who ever is the fastest makes the money and im sure there were one or two people making a fortune.
Until Betfair decided to take it for themselves that is, using there obvious advantages.
So in this situation bf seem to get nearly 1% risk free.Good example from bf forum
In a 3 outcome event with no liquidity, I have asked to back C at 2.1. Straight away, my bet appears as an offer to back B at 1.9.
1) As the price should 1.909, does the person taking it by backing option B get the exact odds automatically?
2) If someone does back B, as well as my bet being matched on C, do Betfair get a risk free win if option A occurs?
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1. Person backing option B at 1.9 gets 1.9.
2. Yes, Betfair get risk-free profit.