How Does Matched Betting Work? A 10-Step Process

How Does Matched Betting Work?

Matched betting works by placing two opposing bets on the same selection. One bet is backs a result and the second one hedges against it. This process allows you to unlock and convert sportsbook promotions into real profit and ensures you cover all outcomes of a bet, allowing you to profit from free bets with minimal risk.

• A back bet is placed at a sportsbook for a specific outcome (e.g., Team A wins).
• A hedge bet is placed at a secondary sportsbook for the opposite outcome.
• These bets cancel each other out, qualifying you for a sportsbook promo.
• You then repeat the process using the free bet promotion to secure a profit.
• Tools like matched betting calculators help optimize your bet sizes and returns.

Step-by-Step Summary

What is Matched Betting?

Matched betting works by balancing out any risk on the 'back' bet at the sportsbook by betting against yourself at the same (or similar) odds (known as 'hedging' a bet) at another sportsbook . In other words, you are placing two 'matching' bets and covering all possible outcomes. 

Matched betting is one of the most effecting betting strategies out there. It enables 
 individuals to profit from online sportsbooks' promotions. It's a legitimate, legal, and risk-free method that involves placing bets on both sides of a wager to ensure a profit regardless of the outcome.

The process differs from traditional sports betting so much that it is not actually classed as gambling. 

💬
What Our Experts Say

"Matched betting works because it removes the risk typically associated with gambling. By strategically placing a back bet and a hedge bet, you’re simply unlocking and converting sportsbook promotions. Turning bonuses into profit, not relying on chance"

- Chris Allen, Sports & Matched Betting Expert at ProfitDuel

And now you know what matched betting is, it's time to take a deep dive into how it works in 10 steps.

1. Understanding the Basics

How long it takes to learn matched betting can vary depending on the level of detail and effort you plan to dedicate to it. However, the basics can be explained very simply.

Matched betting involves two types of bets: a back bet and a hedge bet. A back bet is placed on a particular outcome (e.g., a team winning), while a hedge bet is placed against that outcome (e.g., a team not winning).

Matching this bet with both outcomes means it doesn't matter which bet "wins". Instead, by placing it you will unlock free bet promotions. These free bets can then be transferred into cash. This is what gives matched betting its other name 'free bet conversion'.

2. Finding a Matched Betting Opportunity

To get started, you need to identify a suitable sporting event or market with close odds between the sportsbook (AKA the 'bookies') and the betting exchange (a platform where your hedge bet is placed).

Note: You could instead use another sportsbook to hedge your bet, this technique is known as 'dutching'. Either way, this ensures minimal loss when placing the initial bets (known as your Qualifying Bet).

3. Qualifying Bet

Place a qualifying bet: Place a back bet with the bookmaker using your own funds. At the same time, place a hedge bet on the same outcome at the betting exchange or a secondary sportsbook (when dutching). These two bets cancel each other out, resulting in a minimal loss, usually in the form of a small qualifying loss.

How much you stake on your qualifying and hedge bets will vary depending on the odds, however, these stakes can be easily calculated using a free bet conversion calculator. 

Note: different promotions will have different minimum qualifying amounts. The higher your bankroll (initial investment), the more generous sportsbook promotions you tend to be able to unlock. 

📈
What The Data Says

"The U.S. sports betting market has exploded since the 2018 repeal of the Professional and Amateur Sports Protection Act (PASPA) with $500+ billion placed in bets at legal sportsbooks."

- Sportsbook Review

4. Unlocking Free Bets/Promotions

Online sportsbooks often offer free bets or promotions to attract customers, including profit boosts. Once your qualifying bet is settled, you'll receive a free bet, which you can then use to repeat the matched betting process and secure a profit.

5. Calculating Bets

To ensure a guaranteed profit, precise calculations are crucial. Matched betting software and calculators are available online to help you determine the optimal bet amounts for both the back and hedge bets, and give yourself the best chance at maximizing your profits.

Essential Tools & Terms for Matched Betting

6. Placing Free Bets

Just like with the qualifying bet, you'll place a back bet using the free bet and a corresponding hedge bet at the exchange (or another online sportsbook if you're dutching). The difference this time is that you'll aim to retain a portion of the free bet as profit.

7. Repeating the Process

Continue the process with various sportsbooks promotions to accumulate profits. As you gain experience, you can take advantage of more advanced betting strategies to maximize earnings even further.

8. Managing Variations

Occasionally, the odds may change or a hedge bet might not be immediately available. These situations require adjustments to your calculations to ensure a balanced outcome. You can do this using the integrated calculators in the Dutch Matcher.

9. Cashing Out

Now for the simplest stage of all. Once the bets have settled, you can withdraw your winnings from your relevant sportsbook account. It's important to follow the specific withdrawal procedures of each betting platform. You can find this information in dedicated Offers Guides in the Premium Members Area.

10. Staying Organized

To effectively manage multiple bets and track your progress, it's recommended to keep a detailed record of your bets, free bets, and profits. You can track your profits using a spreadsheet or even better, use our dedicated Profit Tracker Tool.

Summary

Matched betting success relies on meticulous planning, precise calculations, and adherence to the strategy. It's essential to remain disciplined and informed about the latest promotions and offers from various online sportsbooks.

Remember, matched betting is legal and accepted by sportsbooks, as it utilizes their own promotions and free bets. They might not like it as we have the edge.

It's an effective way to generate a consistent income online without relying solely on luck. As you delve into matched betting, the ProfitDuel's Matched Betting Resource Center provides invaluable information and tools to guide you through every step of the process, ensuring your journey towards profitable matched betting is smooth and rewarding.

FAQs on How Matched Betting Works

Can you still make money matched betting if you live in a state with few sportsbooks?
Yes, even in states with fewer sportsbooks, you can still make money by maximizing welcome offers and focusing on reload promotions from those few operators. It may take longer, but matched betting remains profitable.

Is matched betting legal in the United States?
Matched betting is legal in the US but only in states where online sports betting is legal and regulated. It’s a betting technique rather than a product or service, and relies on using legal sportsbook promotions. Always check your state’s current laws before getting started.

Is matched betting worth it in 2025?
Absolutely! Matched betting continues to be a high-ROI side hustle in 2025, especially as more sportsbooks enter new states and offer competitive sign-up and reload promotions. Tools like ProfitDuel make the process even easier and faster.

How often can you matched bet?
You can matched bet as often as promotions are available! While welcome bonuses are one-time use, ongoing reload offers like free bets and event promotions can appear regularly.

How much time does matched betting take per week?
Most beginners spend 1–3 hours per week matched betting, especially during promo-heavy weekends. Experienced users can earn steady profits in under an hour using tools that automate much of the process.

What are common mistakes beginners make with matched betting?
Common beginner mistakes include: betting on the wrong event, miscalculating odds, misunderstanding bonus terms, or forgetting to hedge. Using automation tools and double-checking selections can help avoid costly errors.

Can you do matched betting without using your own money?
While it is possible to begin with a very low bankroll using “no deposit” or small stake bonuses, you’ll usually need at least $50–$100 upfront to fully unlock the most profitable offers. This money is not spent; it cycles through your bets.

Do matched betting profits get taxed in the US?
Technically, any profit made through betting, even from bonuses, is taxable income in the US. While sportsbooks may not issue tax forms for bonus winnings, users are expected to report all income to the IRS.

What tools help maximize matched betting profits?
Dutch matchers, profit calculators, and profit trackers all help maximize earnings and avoid mistakes. Platforms like ProfitDuel bundle these tools with expert guidance, up-to-date odds, the latest sportsbook promos, and real-time deal notifications.