How to Use Arbitrage Betting Legally in Canada

What is Arbitrage Betting

Also known as arbing, arbitrage betting involves placing bets on all possible outcomes of a sports event using different sportsbooks. The goal is to find discrepancies in odds between two betting sites and use them to secure a profit. 

And no, it's not too good to be true because it's based on mathematics. There are no tricks or guesses, just pure math and timing. For example, let's say two sportsbooks offer the following odds for an NHL game.

The mismatch in favourites creates a room for arbitrage betting. 

You will wager $100 for the Oilers to win (+125) with Sportsbook 1 and $100 for the Maple Leafs to win (+135) with Sportsbook 2.

• If Oilers win, you get $225 ($100 stake + $125 returns)

• If the Maple Leafs win, you get $235 ($100 stake + $135 returns)

• Your initial total stake = $200

• Guaranteed profit is either $25 or $35.

Is Arbitrage Betting Legal in Canada?

In a world where the edge is usually with the sportsbook, bettors use arbitrage betting to shift the advantage towards themselves. However, is it legal to use it in Canada? 

No law explicitly bans the use of arbitrage betting in Canada. Players are free to use it without facing any legal issues. 

However, most betting sites dislike it and consider it a violation of their terms and conditions. If detected, players may face limitations on the amount they can stake or be denied the ability to claim bonuses. In extreme cases, some sportsbooks could close customers’ accounts. 

Interestingly, there are no laws restricting betting sites from banning customers for using arbitrage betting. Therefore, players must take caution when applying it.

How to Use Arbitrage Betting in Canada – Step-by-Step

You'll need help if you're using arbitrage betting for the first time. Follow the steps below to get started.

• Step 1 - Understand the basics and calculate potential profits: Many bettors avoid arbitrage betting because it requires additional research and simple calculations. The first step to using arbing is to understand how it works. You need to learn how to identify a loophole and calculate your potential profits to see if it's worth it.

• Step 2 - Select licensed Canadian sportsbooks: The next step is to choose licensed Canadian sportsbooks. We recommend only betting sites with a provincial license from regulators like iGaming Ontario or Loto-Québec. Ensure they offer sports that interest you.

• Step 3 - Use arbitrage software or tools: Using arbitrage software helps you stay ahead of the game. Tools like OddsJam, BetBurger, and RebelBetting assist in monitoring odds and revealing arbitrage opportunities.

• Step 4 - Manage multiple accounts and track bets: Open accounts with multiple sportsbooks to place your arbitrage bets. Use different emails for each betting site to prevent suspicion. Keep a spreadsheet to record each betting site, the date bets are placed, and the amounts used. Also, log the outcome of each bet to monitor profits and losses. You can also use betting trackers like RebelBetting to track your performance.

• Step 5 - Start with low-risk bets and avoid patterns that may flag accounts: Once you're ready to begin arbitrage betting, start slowly with low-risk bets. This could include wagering with small amounts to avoid drawing attention from the sportsbooks. Avoid placing the same bet amount each time to avoid patterns. It also helps to occasionally place non-arbitrage bets from time to time to confuse the betting sites.

Best Arbitrage Betting Sites for Canadians

We understand the challenge of finding a sportsbook that suits your needs. It takes a lot of effort to verify licensing, payment methods, sports coverage, and customer support. But don't worry because we've made it easy for you. Here are 5 sportsbooks to help you start your arbitrage betting journey.

• Sportaza

• Bet99

• Sports Interaction

• Tonybet

• BetVictor

Before registering on any of these platforms, we recommend checking their availability in your province. For instance, Ontario players can access Tonybet.ca, which is licensed by the Alcohol and Gaming Commission of Ontario (AGCO). Players in other provinces can use the offshore website, which is regulated by the Kahnawake Gaming Commission.

Risks & Considerations 

Despite appearing risk-free with guaranteed profit, arbitrage betting is not perfect. We've outlined the risks associated with it below.

• Account limitations or closure: Most sportsbooks frown upon arbitrage betting. Once detected, they will limit your stake amount. In some cases, they may close your account.

• Odds change quickly: It's common for sportsbooks to update their odds, and these changes can happen quickly. You might place a bet on one betting site only to find out that the other betting site has already changed its odds. Therefore, arbitrage requires taking quick action.

• Calculation error: When using arbitrage betting, it is essential to get your calculations right. There is also a risk of miscalculating bet sizes. Any errors could lead to significant losses. Always double-check or use an arbitrage calculator to ensure accuracy.

• Betting at international sportsbooks: We recommend betting at sportsbooks with provincial licensing. They're safer and accountable in times of dispute. If you must use offshore or unregulated sites, please tread with caution.

Tips for Successful Arbitrage Betting in Canada

Achieving success with arbitrage betting is not far-fetched. Bettors who follow strict tips often succeed. Here are some tips they follow. 

Avoid Placing Large Bets Early On

If you're new to arbitrage betting, it's best to start with small bets. It helps you test the waters and understand how it works. You can stay under the radar without attracting the sportsbook's attention. 

Additionally, small bets allow you to scale mistakes. Mistakes are inevitable, especially for beginners. You might make some errors and eventually lose a bit of money. Losing large bets can drain your bankroll. It's better to lose $10 than $100. 

Large stakes may also draw scrutiny from the sportsbook. Your withdrawals could be delayed, and KYC requests might take longer to process.

Withdraw Funds Regularly

Withdrawing regularly is key to protecting your bankroll and preventing account issues. For example, if you're caught arbing, your account may be closed, and your funds may be frozen. Regular withdrawals help you prevent losing your money to the sportsbook.

Regular withdrawals also help track your profits. Your real returns are cash at hand, not the amount displayed on the sportsbook. You may also use your money for something else, like arbitrage betting on another sportsbook.

However, we don't advise withdrawing everything at once. Keep some funds to maintain your account and avoid raising suspicion.

Keep Detailed Records

Bankroll management is crucial when it comes to betting. One effective way to manage your bankroll is to keep detailed records of your bets. Use spreadsheets to keep an eye on how much you wager, the date of arbitrage betting, the sportsbooks used, and the results. The goal is to improve your strategy and avoid costly mistakes. 

Keeping thorough records also helps you defend yourself against disputes. If a sportsbook voids your bets or delays your payout, you can provide all the facts, including bet IDs and screenshots, as evidence.

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Responsible Gambling 

Besides keeping tabs on your bets to improve your arbitrage betting, it is essential to gamble responsibly. Set deposit and time limits to control how much money and time you dedicate to betting. You can also use self-exclusion tools offered by Canadian sportsbooks to take a break from betting.

If you're underage, you won't be allowed to wager on regulated betting sites. They require your government-issued ID to verify your age and identity. You might also need to submit a utility bill to confirm your residence in the appropriate province.