CoinRoster now offers fixed odds betting functionality. This means users can place bets knowing the odds displayed are the odds you get when the bet is settled. As we rushed to get this functionality out to users, the interface is pretty clumsy, so there a few cues to use when identifying a fixed odds bet. Look for the “Amount Left to Wager” value, if this text is displayed, the amount left to wager is listed. This is the maximum payout available to bet, so if the Amount Left to Wager is 1 BTC, and the highest odds available are 10, then the most a user can bet is 0.10 BTC. Another way to identify a fixed odds bet is to look at the amount wagered for each outcome compared to their respective odds. In a parimutuel pool, the odds are determined by the amount bet on each outcome, but with fixed odds the odds “are fixed” regardless of the amount bet. So to identify a fixed odds bet, compare the amount bet and odds of each outcome.
When we created CoinRoster, we were looking for ways to add betting functionality while not taking the financial risk of backing user bets. We decided to offer parimutuel pool functionality to allow users to bet on outright outcomes, but while parimutuel pool betting does have some advantages, it also frustrates most of us who are used to fixed odds bets. Its annoying to place a bet in a parimutuel pool, only to see the odds change before the event goes live.
Fixed odds betting solves the problem of floating odds. When users place a fixed odds bet, they are assured their odds remain the same, whatever odds the bet was placed for also becomes the odds the bet pays out at. For CoinRoster, the challenge with fixed odds is someone needs to take the other side (to take the risk of fixing the odds), and since CoinRoster has been bootstrapped, we don’t have the cash to back bets our own bets, so we launched user generated fixed odds bets so that the users themselves generate their own odds.
You can create you own bets on CoinRoster by creating a contest with fixed odds. You will need to post the collateral required to satisfy the maximum risk your bet implies, but its up to you to set your own odds in a way that is profitable for you and guarantees a spread of profit. As a user, when you place a fixed odds bet, your payout is always at those same fixed odds. Users who make fixed odds bets will not pay any additional rake. But for creators who post fixed odds bets, profits (the difference between what collateral you post and what winnings you keep) are raked at 5%. Keep this in mind when posting your fixed odds bets to ensure your bets are both fair and profitable.