We discuss how sports betting uses the same mathematical representation as options traded on the financial markets. Although there are some notable differences between the two, the basis of earning a profit is the same. Our main message is that sports betting using sophisticated AI technology can provide investment firms with another means of increasing their profit margin not correlated with other assets.
Most pertinently, this white paper will outline how Mercurius Betting Intelligence’s software can find value wagering opportunities similar to how skilled financial market traders uncover undervalued options. The paper explores the ‘all or nothing’ similarity of binary options and sports betting and discusses how AI can overcome many of the disadvantages often associated with wagering on sports.
Ultimately, the paper aims to show that sports betting deserves recognition as a new asset class that should be treated as a legitimate investment in the financial sphere.
Table of contents
- All or Nothing: The Similarities Between Sports Betting & Binary Options
- Mercurius’ Technological Edge
- What are the Downsides of Sports Betting as an Investment?
- The AI Advantage, Now & In the Future
- Backtests Are Not Forecasts, But We Have Skin in the Game