Betfair trading means backing and laying the same selection at different prices, so you profit from the price moving rather than from the result. For example, back at 4.0, lay at 2.5 once the price shortens, and you can lock in the same profit whatever happens. That's called greening up. On a £10 back bet it's £5.88 after 2% commission.
Betfair trading means backing and laying at different prices
On a betting exchange like Betfair, you can back a selection to win or lay it to lose. The prices move all the time as people bet and as news comes in. Trading means taking a price now and the opposite side later, at a better price.
A trader doesn't need to know who wins. They need to know which way the price is going. If you back at 4.0 and the price falls to 2.5, you can lay at 2.5 and finish in profit whether the selection wins or loses.
Betfair has the most money in its markets, which is why people call it Betfair trading. The other UK exchanges are Smarkets and Matchbook. You can trade on either, but they have less money waiting at each price, so big trades are harder to get matched.
How to green up on Betfair and lock in a profit
Greening up means placing the second bet at a stake that leaves you the same profit on every outcome. Betfair shows profits in green, hence the name. The lay stake is the back stake times the back odds, divided by the lay odds.
For example, back £10 at 4.0. The price shortens to 2.5. Lay £10 × 4.0 ÷ 2.5 = £16.00 at 2.5. If the selection wins, you win £30 on the back bet and lose £24.00 on the lay. If it loses, you lose £10 on the back bet and win £16.00 on the lay. Either way that's £6, or £5.88 after 2% commission.
Exchanges charge commission on your net winnings in a market, so greening up on one exchange gives the same profit both ways. Commission varies by exchange and market, so check yours. Our examples use 2%.
Work out any green up or hedge stake with the hedging calculator.Hedging calculator →The back to lay strategy: back early, lay after the price shortens
Back to lay means backing a selection you expect to shorten, then laying it at a lower price. Racing traders look for horses likely to attract money before the off. Football traders often back a team that's expected to score.
| Lay odds | Lay stake | Profit either way |
|---|---|---|
| 3.00 | £13.33 | £3.27 |
| 2.50 | £16.00 | £5.88 |
| 2.00 | £20.00 | £9.80 |
| 5.00 | £8.00 | -£2.00 |
If the price drifts instead, greening up at 5.0 locks in a £2 loss. Taking a small loss early is how traders stop a bad trade turning into a full £10 loss.
The lay the draw strategy: lay before kick off, back after a goal
Lay the draw is one of the best known football trading strategies. You lay the draw before kick off and hope for a goal. When a goal goes in, the draw price jumps, and you back the draw at the bigger price to green up.
Say you lay a £10 draw at 3.4, a £24 liability. A goal goes in and the draw drifts to 5.0. Back £6.80 on the draw at 5.0, and you've locked in £3.14 after 2% commission whatever the final score.
The risk is a match with no goals. The draw price falls as time passes at 0-0. If you trade out at 2.6, you lose £3.08. If you wait until full time and it finishes 0-0, you lose the full £24 liability. A late equaliser after you've held on instead of greening up costs you the same £24.
- Pick matches where both teams score often. The strategy needs a goal, ideally early.
- Decide your exit before kick off, for example trading out at a set minute if it's still 0-0.
- Many exchanges suspend the market when a goal goes in. Prices settle again a moment later, often at a worse price than you hoped.
Scalping pre-race markets one or two ticks at a time
Scalping means trading many times for tiny moves of a tick or two. A tick is the smallest step on the price ladder. On Betfair the steps grow as the odds get bigger, from 0.01 below 2.0 up to 10 at the top of the ladder.
Pre-race trading on horse racing is the classic place to scalp, because a lot of money comes in during the last few minutes before the off. Profits per trade are small, so commission takes a big share, and one slow exit can wipe out many good trades.
Is Betfair trading profitable?
For a few people, yes. For most, no. Every pound a trader wins comes from someone else on the exchange, and the exchange takes commission on top. To make money you need to read prices better than the people on the other side, many of whom are professional traders with fast software.
- Commission comes off every winning market, so small edges disappear quickly.
- Betfair charges an extra fee to a small number of its most profitable customers.
- In-play bets have a short delay before they're matched, which matters when prices move fast.
- Betfair trading software such as Bet Angel and Geeks Toy helps you place bets faster, but it can't give you an edge on its own.
If you want lower risk on an exchange, matched betting is the more reliable route. It uses bookmaker offers rather than guessing price moves.
Calculators for exchange betting:Hedging calculatorLay bet calculatorMatched betting calculator
Questions people ask
What does green up mean on Betfair?
Greening up means placing a second bet the other way, at a stake that gives you the same profit or loss whatever the result. Betfair shows a profit in green, hence the name.
Is Betfair trading legal in the UK?
Yes. Backing and laying on a licensed exchange is legal, and trading means doing both on the same market.
Do I need trading software?
No. You can trade on the Betfair site or app. Software makes placing bets faster, which matters for scalping and in-play trading.
What is the difference between hedging and greening up?
Greening up is one kind of hedging. Hedging is the general term for betting the other way to reduce risk. Greening up is the Betfair trading term for hedging so you profit on every outcome.
Can you lose money trading on Betfair?
Yes. If the price moves against you, greening up locks in a loss instead of a profit. If you don't trade out at all, you can lose your whole stake or liability.