Will Betfair be the exchange operator?

[rrbauer]

Jersey going for Betting Exchange on Races

http://gamingintelligence.com/index.php/newsbites/4112-new-jersey-moves-forward-with-betting-exchange-plans

[Horseplayersbet.com]

Only for Jersey residents? They are going to have big problems with liquidity.

[Hedevar]

They will need the equivalent of market makers on the stock market to get the required liquidity.

[GameTheory]

Maybe they can just get them in the BetFair pools for U.S. racing?

[andicap]

Im gonna have to get me a New Jersey address.

[Mike_412]

I copied this part of the bill (found below) in another thread. If Betfair is the operator (which would make the most sense) it seems that liquidity would be pooled between Jersey and overseas customers. That would make the most sense. Hopefully it passes the Senate in Jersey and other states join in. One of the sponsors of the bill stated that California, along with a couple of other states, are watching to see what happens as they too are interested in a betting exchange.


“Interstate Exchange Pool” means an exchange wagering system established within this State or in another state or foreign nation within which is combined unmatched wagers on one or more horse races in order to form identically opposing wagers.

[thespaah]

Only for Jersey residents? They are going to have big problems with liquidity.NJ4bets is also an NJ resident only wagering method.
I am originally from NJ. I have always maintained NJ has some strange laws.
Mostfolks think because NJ is a "blue" state, it's freewheeling. Not so.
NJ is the only state that has Blue Laws. In some towns you cannot do any yardwork of any kind on Sunday. Can't even wash your car.
In Bergen County, department stores, home improvement stores and malls cannot open.
You can't buy beer to go after 10 pm unless you go to a bar......and pay full bar price for a 6 pack.
Before 1990 or so, parimutuel wagering on sunday was illegal....
It comes as no surprise that the proposed betting exchange is for NJ Residents only. Dumb...It is what it is.
Don't look now, but I bet the NJ horsemen will find a way to ef this up 6 ways to Sunday.

[castaway01]

NJ4bets is also an NJ resident only wagering method.
I am originally from NJ. I have always maintained NJ has some strange laws.
Mostfolks think because NJ is a "blue" state, it's freewheeling. Not so.
NJ is the only state that has Blue Laws. In some towns you cannot do any yardwork of any kind on Sunday. Can't even wash your car.
In Bergen County, department stores, home improvement stores and malls cannot open.
You can't buy beer to go after 10 pm unless you go to a bar......and pay full bar price for a 6 pack.
Before 1990 or so, parimutuel wagering on sunday was illegal....
It comes as no surprise that the proposed betting exchange is for NJ Residents only. Dumb...It is what it is.
Don't look now, but I bet the NJ horsemen will find a way to ef this up 6 ways to Sunday.

Yes, people getting busted for doing yardwork on Sundays has been a big problem in this state for years. You should check out some other state's 200-year-old unenforced laws sometime. :rolleyes:

As far as the bold statement, NJ residents may be the only ones who can use 4njbets.com (and who else would want to?) but the money goes into the same pools as everyone else's. If NJ does exchange betting that can only be done with other NJ residents, it's going to be pretty lame. If we somehow get hooked up with BetFair and can bet with anyone who is a member there, then we're in good shape and I predict U.S. horse racing is going to start changing quickly as other states adopt exchange betting. That will be a great day for people who want to see racing grow again---but let's see what happens.

[horses4courses]

I find it interesting that the arrival of Betfair in the US market has bettors buzzing about the prospect of exchange betting in NJ and, hopefully, elsewhere in the US before too long.

I have long been a supporter of less restriction on gambling, especially race and sports betting, however, I'm having a hard time seeing a renaissance when it comes to this form of gambling.
Here's why........

IT'S BOOKMAKING!!!!

For a fee to Betfair, you either bet against a bookie, or become one yourself.

Don't get me wrong ....I love the concept!

To legalize it in a "holier than thou", "sweep gambling under the carpet and pretend it doesn't exist" nation, it baffles me that this could be seen as ok.

[Rutgers]

If NJ does exchange betting that can only be done with other NJ residents, it's going to be pretty lame. If we somehow get hooked up with BetFair and can bet with anyone who is a member there, then we're in good shape and I predict U.S. horse racing is going to start changing quickly as other states adopt exchange betting. That will be a great day for people who want to see racing grow again---but let's see what happens.

Assuming the law passes and passes the possible legal challenges (I think the legality is questionable), exchange betting will probably be very “lame“, even if it is expanded beyond NJ.

For one thing, I do not think a lot of tracks and horseman will agree to it. (And if they do, I do not think the exchanges will be able to offer a 5% commission and be profitable)

Another problem I see is exotic wagering is far more popular then straight betting in the US. Exchange betting does not lend itself very well to exotic wagering. I do not think the Pick N and 'fecta players are go to switch to straight wagering or the smaller exotics just to play on an exchange.

And unless the exchange volume gets very big most players, especially casual and newer players, will probably be better off playing the pari-mutual pools instead of the exchanges.

[Rutgers]

Im gonna have to get me a New Jersey address.

Just move to the island of Jersey, you won't have a New Jersey address, but you would have a new Jersey address. :lol:

[rrbauer]

Assuming the law passes and passes the possible legal challenges (I think the legality is questionable), exchange betting will probably be very “lame“, even if it is expanded beyond NJ.

For one thing, I do not think a lot of tracks and horseman will agree to it. (And if they do, I do not think the exchanges will be able to offer a 5% commission and be profitable)

Another problem I see is exotic wagering is far more popular then straight betting in the US. Exchange betting does not lend itself very well to exotic wagering. I do not think the Pick N and 'fecta players are go to switch to straight wagering or the smaller exotics just to play on an exchange.

And unless the exchange volume gets very big most players, especially casual and newer players, will probably be better off playing the pari-mutual pools instead of the exchanges.

I remember when nobody was interested in the "world wide web" and then later when broadband was "too expensive". I would not be quick to dismiss the potential popularity of locking in a fixed price for either side of a bet. No question that some existing mindsets are going to require changing. But if this game does not ditch the status quo and start innovating there won't be anything left to change.

[Robert Goren]

It might fly legally as a NJ residents only thing, But there is no way that is get by court challenges as an interstate operation unless laws are changed at Federal level. JMO