01 Definition
Odds represent both the bookmaker's assessment of probability and the potential return on a bet. In decimal format (used in Europe), odds of 2.00 mean you double your money if you win. The implied probability is 1 ÷ odds. Higher odds = less likely but higher payout. Lower odds = more likely but lower payout.
02 Example
Decimal odds of 1.72 mean a $100 bet returns $172 if it wins ($72 profit). The implied probability is 1 ÷ 1.72 = 58.1%. If you believe the true probability is 68%, there's a significant gap — that gap is your edge.
03 Why It Matters
Understanding odds is foundational. The difference between what the odds imply and what the actual probability is determines whether a bet has positive or negative expected value. Professional bettors don't care about who wins — they care about whether the odds are mispriced.
04 How thetipster.xyz Uses This
Our algorithm compares the bookmaker's live odds (and their implied probability) against our model's calculated probability. When the gap exceeds our threshold, we flag it as a +EV signal. Our average odds across all signals are 1.74.
Related Terms
See Odds in action
Our live signal feed applies these concepts in real time. 71.3% hit rate, +21.4% ROI on flat stakes across 1,800+ signals.