POWERED BY SCIENCE
The Sportsbook² protocol is a processing layer in charge of monitoring risk. The protocol essentially functions as a market-maker aiming to offer the best possible odds for our players at any given moment.
Instead of charging fixed "one size fits all" margins, our market-making engine, Sportsbook², evaluates independent risk instances as part of a macro trend and adjusts a dynamic margin accordingly. Ultimately, enabling players to enjoy a free-to-play, zero margin zone, while charging increased commissions only for bets carrying higher risk.
Our platform uses a self-balancing pricing system. Whenever the bet distribution becomes increasingly skewed towards a specific outcome, the betting engine will present more attractive prices for the other outcomes and vice versa.
Team A Winning Probability
w/ Discounted Margin
Team B Winning Probability
w/ Increased Margin
While establishing a free-for-all, zero commission market is a compelling idea, it opens the platform for arbitraging.
Using deep learning of players interactions, our engine assigns them with a personalized risk coefficient, adding yet another layer of risk assessment.
Weighted Dynamic Margin
Unweighted Dynamic Margin
Behavior Based User Profile
Minimal Relative Margin
In traditional sportsbooks, given a normal distribution of bets, the house is expected to win the margin. Since full distributions rarely occur, sportsbooks heavily pad margins to compensate for their imprecise EV models.
Our risk model naturally converges into the minimal margin relative to the expected risk, offering players a fair chance of winning, while eliminating unnecessary risks and maintaining a steady profitability.