I was thinking of trying to build a sports betting website with a 0% house edge.
I was wondering if anything like this existed now?
Basically, the website wouldn't use any of it's own money but would just hold funds in escrow, which would enable a 0% house edge.
For example, if you want to bet $100 on the Patriots and place it with a betting parlor, the house edge is like 10%. The casino needs to make a profit.
But if my best friend wants to bet $100 on the Rams, I can just bet against him and receive a 0% house edge.
But what if you don't have a best friend who wants to bet on the Rams?
This website would enable you to put $100 into a bitcoin escrow on the Patriots, and if another user wants to accept your bet, they put $100 into escrow for the Rams.
A smart contract would ensure automatic payoff upon completion of the game.
I mean, this is basically what Ethereum was built for I think, so I'm assuming someone has perhaps already done it?
I was living in England for a while and there's like sports betting parlors on every street corner. I'm just picturing like, all of this gone in 10 years, like what happened to blockbuster. When people figure out you can get a negligible house edge, why place bets where the juice is 10%?
