Sports Betting: Kaki Bola to Kaki Judi?

Recently, market talk has increased on the possibility of an approval of a sports betting license in Malaysia. What? Malaysia? YES…

Introduction to Sports Betting…
For “kaki bola”, sports betting definitely not a strange activity for them – I am not saying that every ‘kaki bola’ also bets. As long as there was demand, almost any kind of sports in the world can become a common interest for betting. Example, tennis, baseball, badminton, golf, F1 racing, and even sepak takraw… Of course, we can not left out world’s most popular sports – football. According to some estimates, the illegal gaming syndicate market size is about RM10 billion, similar to the current 4D market size, of which the majority is from sports betting.
  
Further liberalization of gaming industry?
In Malaysia, 4D is the only legal betting activity that existed, besides going up to Genting Highlands. On the whole, further liberalization are positive, given that this would help enlarge the government revenue pie by taking market share from the illegal.

As soon as before World cup 2010?
I do not think that it can be implemented so fast because this must be brought-up to Cabinet for approval (a very complicated place now).


Sports betting a new opportunity for betting company?
Not necessarily. It all depends on how it is being implemented. The main issues were:

  1. the extent of restriction being imposed by government
  2. high prize payout ratios involved 
  3. gaming taxes to be borne
  4. agent commissions to be paid
  5. sports betting is much more complicated than normal 4D betting

The prize payout ratios for sports betting are very high, at 90-95%. Depending on the type of sports betting allowed, the prize ratio would vary. Example, a win/lose/draw system, as practiced in Singapore, got a lower prize payout ratio than betting on an odds system.
  
I believe that government would not allow an online betting system, as this would involve a whole set of other risks and control issues, like currency exchange. As such, the license would likely be for betting via the existing 4D outlets with a win/lose/draw system. This is because an odds betting system, with live features, must go through the un-control-able online mode, which is not encouraging.
  
However, win/lose/draw betting is NOT so popular to punters, given the more exciting nature of the odds system of betting available in the illegal market. Convenient wise, this would lose out, as punters had to place a bet physically at 4D outlets, as compare with a phone call in illegal market.

Comments

  1. Spot Wallet7 February 2022 at 15:28

    Speaking of opportunities, look at these agents above me! Now it is not so hard to play sports betting and online egames anymore!

    ReplyDelete

Post a Comment

Popular posts from this blog

A Malaysian Guide to Home Buying Fees & Charges

Image
Like any other country, buying a house and taking a  home loan  / mortgage in Malaysia involve legal  fees & charges  - which many people fail to take into consideration especially when they’re buying a property for the very first time. So to all Malaysians buying your dream houses right now, allow iMoney to show you ALL the fees and charges involved when you buy a house or apply for a home loan.
Read more

How Can A Profit-Guaranteed Investment Be Risky?

Image
Investment professionals love complicating things. Trust me on that. I was once like that. You don’t believe me? The next time you meet people from the investment industry, try asking them to give you a definition of the word “risk”. Investopedia defines “risk” as “the chance that an investment’s actual return will be different than expected...risk is usually measured by the standard deviation of the historical/average return of a specific investment.”   Don’t get me wrong. This is actually a pretty good definition of "risk”... that is if you speak finance. But most people don’t, and if you are like most people, you probably struggled to understand even the first sentence (actual return vs expected return...huh?). Good luck attempting to measure risk! Then, what does RISK mean? Complicated definitions aside, many investment professionals define “risks” consistent with the above definition i.e. in terms of “ uncertainty ” (or “volatility...
Read more

Interviewing Catwalk Guru Benjamin Toong

Image
After interviewing Amber Chia, the Malaysia born international supermodel, this is the second episode. For those who missed the interview, please read " Interviewing International Supermodel Amber Chia " dated 11 April 2011. In conjunction with this, Finance Malaysia Blog continue to highlight some of those successful Malaysian. We strive to bring out the hidden success story of Malaysian, and we are proud to present to you Catwalk guru - Benjamin Toong. Some profile of Benjamin Toong: Founder of Runway Productions Crowned as the catwalk guru of Malaysia in year 2010 3 years experience in runway training, fashion stylist and runway choreographers Fashion stylist for local and international fashion magazines Judge and Professional Runway Trainer for Ford model Supermodel of the world Malaysia 2009 Official stylist of Jiayu Astro CH304 Co-founder of AmberChia Academy The Interview In Malaysia, many people perceived that modelling is of western culture. Can you tell us HOW and...
Read more