Sportsbook Odds & Financial Events
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Trade Edge provides free all major sportsbook odds, broker and financial event odds.
What Are Events?
Answer:
In 2020 the CFTC legalized events and event trading as an asset class.
Events are trading contracts that allow users to speculate on the outcome of a yes or no question about a future event. Event contracts are available on various topics, including Politics, Crypto, Financial Indices, Weather, Inflation, Student loans, Climate change, The Oscars, Music festivals, and U.S. Supreme Court cases.
Here's how event contracts work:
Price
The price of an event contract is based on the market's assessment of the likelihood of the event happening. The price ranges from 1% to 99%.
Trading
Traders buy contracts based on whether they think the answer to the question will be yes or no.
Payout
If the trader's prediction is correct, they receive the full $1 contract price.
Market price
The price of an event contract is set by supply and demand. If the market believes an event is likely to happen, the price will go up. Prices are largely determined by the expected probability of an event occurring, for example, an event priced at $0.90c implies a 90% chance the event will happen. If a purchaser buys the contract at $0.90c the most they could gain would be $0.10c while risking $0.90c if the event does not occur. Conversely, the seller of the same contract would collect $0.90c if the event does not happen while risking $0.10c.
Spread
The spread is the amount over $1 that the price of a YES and NO contract add up to. A low spread means that lots of people are trading and the price is less likely to swing.
Events for U.S. customers are regulated by the Commodity Futures Trading Commission (CFTC), a U.S. government oversight body.
- Watch The Event Trade: Before the expiration of the event, the event will trade live and move in price as the probabilities of the event occurring or not occuring change.
Ability to select events that hedge risks, for example:
- S&P, Nasdaq and equity price risks.
- Bitcoin risks.
- Weather or vacation rental weather risks.
- Inflation/CPI risks.