Danny Funt

You might bet $10 for the chance at winning $300.

You could understand how appealing that is.

But 30% of bets are parlays and about 60% of revenue comes from parlays.

Wow.

They tend to hold, for every $100 you bet, the house holds about $30 in revenue.

The traditional margin for sports betting was like $5 for every $100 wagered.

And what that same guy who used to work at FanDuel, his name is Nick Bonadio, so I'm happy a lot of guys put their names behind these quotes, said...

Customers have this assumption that I'll bet that $10 bet to win 300.

And if I hit one of those bets, it's gonna pay for all my losers.

It doesn't work that way.

The odds are so bad for those bets over time.

It's why it's so profitable.

He said, and I remember this quote, he said, not to be condescending, but I think maybe 5% of customers understand that, understand that the odds are actually so bad that these are sucker bets essentially.

And yet, as I was saying, it's sometimes exclusively how people now wager on sports.

Mm-hmm.

Totally.

I mean, you know, the most notorious fixing scandal is the 1919 World Series, eight members of the Chicago White Sox throwing baseball's championship.

People say, you know, there would never be another White Black Sox scandal.

That's true, but you'd never, you wouldn't need eight players now to collude, to throw the World Series in order to make a lot of money.

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