Glossary platform
Betting Exchange
In short: A platform where bettors trade against each other rather than against a bookmaker. The exchange takes a commission (typically 2–5%) on winning bets but doesn't set lines or build vig into the odds. Novig, Betfair, and Sporttrade are major exchanges.
Also known as: betting market, peer-to-peer betting
Exchanges produce odds close to fair value because the prices come from supply and demand among bettors, not from a bookmaker’s model with vig added. They’re useful both as reference lines for +EV calculations and as one leg of arbitrage bets.