To execute an arbitrage bet, the bettor must compare odds across multiple bookmakers and calculate the potential profits.
The most straightforward example I can provide is the following:
Sports betting arbitrage is a strategy employed by individuals to take advantage of discrepancies in odds offered by different bookmakers. The goal is to guarantee a profit by placing bets on all possible outcomes of a sporting event. GUARANTEED PROFIT is the operative assumption here.
Arbitrage opportunities arise when different bookmakers have varying opinions on the likelihood of different outcomes, resulting in odds that don't reflect the true probabilities. By identifying these discrepancies, bettors can place bets on all possible outcomes with different bookmakers, ensuring a profit regardless of the outcome.
Just in case you are asking if Sports Betting Arbitrage is legal? That is a natural and normal one to ask, and the short answer is yes, it is legal. And more so, it is not illegal in any country where gambling and betting is permitted. Just note bookmakers do their absolute best to stop it, and is most likely than not, if you ask bookies, one of the things they frown on the most. But they frown on it simply because it's a way for the consumer or bettor to come out on top, and not necessarily the house.
This is purely a numbers game. An access to credit game. A game that goes beyond the court, the field, the rink. That the game is much more vicinal to reality than you would think. It's a game of staying the course, knowing what you are getting yourself into, and reminding yourself, that the only way you have a leg against the house, is if you allow yourself to not get in your own head.